Is Eg Acquisition Corp. overvalued or undervalued?

As of 9 November 2023, the valuation grade for Eg Acquisition Corp. has moved from does not qualify to risky, indicating a heightened level of concern regarding its financial health. The company appears to be overvalued, particularly given its negative valuation ratios, including a Price to Book Value of -0.25 and an EV to EBITDA of -5.04, which suggest significant challenges in generating positive returns. Additionally, its P/E ratio is not applicable due to the company being loss-making, further complicating its valuation.
In comparison to peers, Eg Acquisition Corp. has a less favorable EV to EBITDA ratio of -7.1496 when compared to InFinT Acquisition Corp. at -2.9579 and Vahanna Tech Edge Acquisition I Corp. at -2.7630, highlighting its relative weakness in profitability metrics. The company's recent stock performance shows a 1-month return of 86.73%, significantly outpacing the S&P 500's return of 2.33%, but this is contrasted by a 1-year return of -3.87% against the S&P 500's 17.14%, reinforcing the notion that while short-term gains have been notable, the long-term outlook remains bleak.