Is Forum Energy Technologies, Inc. overvalued or undervalued?

As of 3 August 2023, Forum Energy Technologies, Inc. has moved from an attractive to a risky valuation grade. The company appears to be overvalued given its current valuation metrics, including a Price to Book Value of 0.66, an EV to EBITDA of 4.16, and an EV to Sales of 0.44. In comparison, peers such as ProPetro Holding Corp. have a more favorable EV to EBITDA of 2.31, while Oil States International, Inc. boasts a lower P/E ratio of 18.43, indicating a more attractive valuation relative to Forum.
Despite a strong year-to-date return of 76.76%, which significantly outperformed the S&P 500's 12.22%, the company's long-term performance shows a stark contrast, with a 10-year return of 128.85% compared to the S&P 500's 231.64%. This suggests that while the stock has had a recent surge, its overall valuation may not be justified when compared to both its peers and the broader market performance.