Is BuzzFeed, Inc. overvalued or undervalued?

As of 16 May 2022, BuzzFeed, Inc. has moved from a fair to a risky valuation grade. The company appears to be overvalued given its negative performance indicators and ratios. The P/E ratio is not applicable due to the company being loss-making, while the Price to Book Value stands at 0.84, indicating that the market values the company below its book value. Additionally, the EV to EBITDA ratio is -5.02, reflecting significant operational challenges.
In comparison to its peers, BuzzFeed's valuation metrics are concerning. For instance, Porch Group, Inc. has a P/E of -27.89, while The Arena Group Holdings, Inc. shows a more favorable EV to EBITDA of 11.26. Furthermore, BuzzFeed's ROCE and ROE are notably negative at -36.18% and -47.53%, respectively, which raises red flags about its profitability and efficiency. The stock has underperformed against the S&P 500, particularly over the past year, where it has declined by 4.69% compared to the S&P's gain of 10.26%.