Is GEE Group, Inc. overvalued or undervalued?

As of 14 August 2024, the valuation grade for GEE Group, Inc. has moved from fair to risky, indicating a deterioration in its investment appeal. The company appears to be overvalued given its significant negative financial metrics, including a Price to Book Value of 0.42, an EV to EBITDA ratio of -2.36, and a Return on Equity (ROE) of -24.23%. Comparatively, RCM Technologies, Inc. shows a more attractive P/E ratio of 28.02, while TrueBlue, Inc. has a risky valuation with an EV to EBITDA of -24.09, highlighting the struggles within the sector.
In terms of stock performance, GEE Group has underperformed against the S&P 500, with a year-to-date return of -0.24% compared to the index's 12.22%. Over the past three years, the company's stock has plummeted by 67.43%, while the S&P 500 has surged by 70.41%, reinforcing the notion that GEE Group is currently overvalued.