Is Enveric Biosciences, Inc. overvalued or undervalued?

As of 31 March 2022, the valuation grade for Enveric Biosciences, Inc. moved from risky to does not qualify, indicating a significant deterioration in its financial standing. The company is currently considered overvalued given its financial metrics, including a Price to Book Value of 0.82, an EV to EBIT ratio of 0.11, and an EV to EBITDA ratio of 0.12. The company's ROCE is exceptionally high at 963.23%, but this is overshadowed by a negative ROE of -245.58%, reflecting ongoing losses.
In comparison to its peers, Enveric's valuation metrics are unfavorable; for instance, Paranovus Entertainment Technology Ltd. has a P/E ratio of -29.93 and an EV to EBITDA of -14.17, while Mannatech, Inc. shows a P/E of -25.45 with an EV to EBITDA of 9.59. The stark contrast in performance and valuation ratios suggests that Enveric is not only overvalued but is also struggling significantly compared to its industry peers. The company's stock has underperformed dramatically, with a year-to-date return of -76.75% compared to a 2.44% gain in the S&P 500, reinforcing the notion of its overvaluation.