Is Fulgent Genetics, Inc. overvalued or undervalued?

As of 5 May 2023, Fulgent Genetics, Inc. has moved from an attractive to a risky valuation grade. The company is currently considered overvalued based on its financial metrics. Key ratios include a Price to Book Value of 0.58, an EV to EBIT of -4.67, and an EV to EBITDA of -7.04, indicating significant losses and potential concerns about profitability.
In comparison to its peers, Fulgent's P/E ratio is notably negative at -19.40, while Addus HomeCare Corp. is very expensive with a P/E of 22.93, and Pediatrix Medical Group, Inc. has a P/E of 7.64, highlighting the disparity in valuation among similar companies. Additionally, Fulgent's recent stock performance has lagged behind the S&P 500, with a 1-year return of -4.64% compared to the index's 10.26%, reinforcing the notion that the stock may be overvalued in the current market context.