Is HCW Biologics Inc. overvalued or undervalued?

As of 14 August 2025, the valuation grade for HCW Biologics Inc. moved from risky to does not qualify, indicating a significant deterioration in its financial standing. The company is overvalued given its negative valuation ratios, including a Price to Book Value of -1.70, an EV to EBIT of -2.12, and an EV to EBITDA of -2.38. These metrics suggest that the company's financial performance is not only poor but also unsustainable compared to its peers.
In comparison to its industry, HCW Biologics Inc. shows a stark contrast with peers like Elicio Therapeutics, Inc., which has an EV to EBITDA of -4.1277, and Eliem Therapeutics, Inc., with an EV to EBITDA of -1.5652. The company's returns have been dismal, with a year-to-date decline of -74.56% compared to a positive return of 12.22% for the S&P 500, further reinforcing the notion that HCW Biologics is not a viable investment at this time.