Is ClearOne, Inc. overvalued or undervalued?

As of 9 February 2024, ClearOne, Inc. has moved from a fair to a risky valuation grade. The company appears to be overvalued, given its significant negative financial metrics. Key ratios include a price-to-book value of 0.53, an EV to EBITDA of -1.06, and a ROCE of -53.12%. In comparison, Turtle Beach Corp., which is rated fair, has a P/E ratio of 18.60, while GoPro, Inc., also rated risky, shows a P/E of -4.77.
The recent stock performance highlights the disparity in returns, with ClearOne's YTD return at -56.20% compared to the S&P 500's positive 12.22%. This stark contrast reinforces the notion that ClearOne is not only struggling relative to the market but also reflects its challenging financial position.