Is Kartoon Studios, Inc. overvalued or undervalued?
As of May 15, 2019, Kartoon Studios, Inc. is considered overvalued and risky due to negative financial metrics, including a Price to Book Value of 1.42 and significantly lower EV to EBITDA ratios compared to peers, alongside a 1Y return of -29.86% versus the S&P 500's 10.26%.
As of 15 May 2019, the valuation grade for Kartoon Studios, Inc. moved from does not qualify to risky. The company is currently assessed as overvalued, given its negative performance metrics and ratios. Key ratios include a Price to Book Value of 1.42, an EV to EBIT of -3.19, and an EV to EBITDA of -4.57, which indicate significant financial distress and inefficiency.In comparison to peers, Kartoon Studios has a notably lower EV to EBITDA ratio than AMC Entertainment Holdings, Inc. at 19.9741 and Accel Entertainment, Inc. at 7.8835, both of which are performing better despite their own risks. The company's return metrics also reflect a concerning trend, with a 1Y return of -29.86% compared to the S&P 500's 10.26%, highlighting its underperformance in the market. Overall, the combination of negative ratios and poor stock performance suggests that Kartoon Studios is overvalued in its current state.
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