Is FTC Solar, Inc. overvalued or undervalued?

As of 10 May 2021, FTC Solar, Inc. has moved from a grade that does not qualify to a risky classification. The company appears to be overvalued based on its financial metrics. Key ratios include a Price to Book Value of 6.60, an EV to EBIT of -2.11, and an EV to EBITDA of -2.18, all indicating significant financial distress. The company's ROCE and ROE are notably negative at -249.32% and -282.95%, respectively, further highlighting its struggles.
In comparison to peers, FTC Solar, Inc. has a less favorable valuation than MoneyLion, Inc., which is rated fair with a P/E of 107.79 and an EV to EBITDA of 11.10. Other risky peers like Innovid Corp. show extreme negative valuations, with an EV to EBITDA of 169.90. The company's recent stock performance has also lagged behind the S&P 500, with a year-to-date return of -23.59% compared to the index's 2.44%, reinforcing the notion that FTC Solar, Inc. is overvalued in its current state.