Is Century Casinos, Inc. overvalued or undervalued?

As of 8 August 2023, the valuation grade for Century Casinos, Inc. has moved from fair to risky, indicating a shift in perception regarding its financial health and market position. The company is currently considered overvalued given its negative price-to-book value of -2.11 and a low EV to EBITDA ratio of 2.69, which suggests that the market is not pricing in the potential recovery or profitability of the business adequately.
In comparison to its peers, Century Casinos, Inc. shows a stark contrast with Rush Street Interactive, Inc., which has a P/E ratio of 151.37, and Everi Holdings, Inc., which is deemed very expensive with a P/E of 43.02. The company's return metrics are concerning, as it has underperformed significantly against the S&P 500 over various time frames, including a year-to-date decline of 25.93% compared to a 2.44% gain in the index. Overall, Century Casinos, Inc. appears to be overvalued in the current market context.