Is Chavant Capital Acquisition Corp. overvalued or undervalued?

As of 14 May 2024, the valuation grade for Chavant Capital Acquisition Corp. has moved from does not qualify to risky, indicating a significant deterioration in perceived value. The company appears to be overvalued given its current metrics, particularly with a Price to Book Value of 24.49 and an EV to Sales ratio of 2.71, which are substantially high for a company in the finance sector. Additionally, the negative EV to EBIT and EV to EBITDA ratios of -0.73 and -0.78, respectively, further highlight the company's struggles.
In comparison to its peers, Chavant Capital Acquisition Corp. has a P/E ratio of -0.8891, while ESGEN Acquisition Corp. also shows a negative P/E of -4.1801, both indicating a challenging financial situation. Meanwhile, Mountain Crest Acquisition Corp. IV, rated fair, has a P/E of 49.2202, showcasing a stark contrast in valuation. The company's recent stock performance has been poor, with a year-to-date return of -47.12% compared to a 12.22% return for the S&P 500, reinforcing the notion that it is currently overvalued.