Is Cineverse Corp. overvalued or undervalued?

As of 15 August 2022, the valuation grade for Cineverse Corp. moved from expensive to risky, indicating a shift in perception regarding its valuation. The company is currently considered overvalued. Key ratios include a P/E ratio of 15, an EV to EBITDA of 5.21, and a PEG ratio of 0.09, which suggests that despite a low PEG, the overall valuation metrics do not support a favorable investment case at this time.
In comparison with peers, Cineverse Corp. has a P/E ratio of 16.25, which is significantly lower than Marcus Corp. at 56.70, indicating that Cineverse may not be justified in its current price given the higher valuations of its peers. Additionally, while Cineverse's ROCE stands at 20.30%, it still lags behind the attractive valuation of Canterbury Park Holding Corp. with a P/E of 88.86. The stock has shown a strong 1-year return of 364.29%, outpacing the S&P 500's 10.26%, but this performance does not necessarily reflect its current overvaluation status.