Is Icahn Enterprises LP overvalued or undervalued?

As of 25 February 2022, the valuation grade for Icahn Enterprises LP has moved from very attractive to risky, indicating a significant deterioration in its investment appeal. The company appears to be overvalued given its current financial metrics, including a Price to Book Value of 1.80, an EV to EBITDA of 17.40, and a troubling ROE of -18.06%. In comparison, peers such as HF Sinclair Corp. have a much lower EV to EBITDA of 18.13, while PBF Energy, Inc. shows a more favorable EV to EBITDA of -7.50, highlighting the challenges Icahn Enterprises faces within its industry.
The stock has underperformed significantly against the S&P 500, with a one-year return of -38.81% compared to the S&P 500's 17.14%. This stark contrast reinforces the notion that Icahn Enterprises LP is currently overvalued in the market.