Is Codere Online Luxembourg SA overvalued or undervalued?

As of 17 October 2025, the valuation grade for Codere Online Luxembourg SA has moved from very expensive to expensive, indicating a slight improvement in perceived value but still reflecting a high valuation relative to its fundamentals. The company appears to be overvalued based on its current metrics, particularly with a P/E ratio that is not applicable due to losses, an EV to EBITDA ratio of 0.7986, and an EV to Sales ratio of 1.59.
In comparison to its peers, Codere's valuation is significantly higher, with Golden Entertainment, Inc. having a P/E of 37.80 and an EV to EBITDA of 7.70, while Marcus Corp. presents a more attractive P/E of 21.71 and an EV to EBITDA of 4.76. This stark contrast suggests that Codere Online Luxembourg SA is not only overvalued but also lacks the profitability metrics that would justify its current price. Although specific return data is not available, the absence of a positive return narrative against the S&P 500 further reinforces the notion of overvaluation.