Is Lee Enterprises, Inc. overvalued or undervalued?

As of 8 December 2022, the valuation grade for Lee Enterprises, Inc. moved from expensive to risky, indicating a shift in perceived value. The company appears to be overvalued based on its negative Price to Book Value of -1.06, an EV to EBIT ratio of 30.99, and an EV to Sales ratio of 0.84. In comparison to peers, Gannett Co., Inc. has a more favorable EV to EBITDA of 7.2814, while Daily Journal Corp. shows a much higher P/E ratio of 25.5434, further highlighting Lee's relative weakness.
The company's performance has been significantly lagging, with a year-to-date return of -63.8% compared to the S&P 500's positive return of 12.22%, and a 3-year return of -70.88% against the S&P's 70.41%. This stark contrast reinforces the notion that Lee Enterprises, Inc. is overvalued in its current state.