Is Cambium Networks Corp. overvalued or undervalued?

As of 8 July 2024, the valuation grade for Cambium Networks Corp. has moved from risky to does not qualify, indicating a significant deterioration in its financial standing. The company appears to be overvalued given its P/B ratio of 0.23 and negative EV to EBITDA of -0.44, which suggest that the market is not valuing its assets favorably. Additionally, the ROCE and ROE are alarmingly low at -126.03% and -222.16%, respectively, further supporting the notion of overvaluation.
In comparison to peers, Cambium Networks Corp. has a less favorable valuation profile than Kaleyra, Inc., which is rated attractive with a P/E of -3.0818 and an EV to EBITDA of -66.4366. The stock has underperformed against the S&P 500 over the past year, with a return of -60.21% compared to the index's 17.14%, reinforcing the view that the company is struggling significantly in the current market environment.