Is Ginkgo Bioworks Holdings, Inc. overvalued or undervalued?

As of 16 August 2021, the valuation grade for Ginkgo Bioworks Holdings, Inc. moved from does not qualify to risky, indicating increased concerns about its financial health. The company appears to be overvalued, given its negative P/E ratio and significant losses reflected in its ROE of -60.42%. Key valuation ratios include a Price to Book Value of 0.69, an EV to EBIT of 0.21, and an EV to EBITDA of 0.25, all of which suggest that the company is struggling to generate positive returns relative to its valuation metrics.
In comparison to peers, Ginkgo Bioworks has a worse EV to EBITDA ratio than Agilon Health, which stands at -0.6626, further highlighting its relative weakness in the industry. Despite a strong 1-year stock return of 54.12% compared to the S&P 500's 17.14%, the company's long-term performance over 3 years shows a dramatic decline of -90.45%, indicating significant volatility and risk.