Is Fiscalnote Holdings, Inc. overvalued or undervalued?

As of 12 May 2025, the valuation grade for Fiscalnote Holdings, Inc. has moved from attractive to risky, indicating a significant deterioration in its financial outlook. The company is currently assessed as overvalued, particularly given its negative P/E ratio and troubling return metrics. Key ratios include a Price to Book Value of 0.99, an EV to EBIT of -7.11, and an ROE of -31.00%, all of which suggest that the company is struggling to generate returns for its shareholders.
In comparison to its peers, Fiscalnote's valuation appears unfavorable. For instance, PropertyGuru Group Ltd. has a P/E of -132.05, while Vimeo, Inc. is categorized as expensive with a P/E of 40.05, highlighting the disparity in performance and valuation across the sector. Additionally, Fiscalnote's recent stock performance has been poor, with a year-to-date return of -47.58%, contrasting sharply with the S&P 500's gain of 2.44% during the same period. This further reinforces the notion that Fiscalnote Holdings, Inc. is currently overvalued.