Is LM Funding America, Inc. overvalued or undervalued?

As of 31 March 2023, the valuation grade for LM Funding America, Inc. moved from does not qualify to risky. The company is overvalued given its significant losses and negative return metrics. Key ratios include a Price to Book Value of 0.32, an EV to EBIT of -0.05, and an EV to EBITDA of -0.11, all indicating poor financial health and valuation concerns.
In comparison to peers, LM Funding America, Inc. has a worse EV to EBITDA ratio of -5.2816 compared to BioNexus Gene Lab Corp. at -2.5208 and Greenwave Technology Solutions, Inc. at -1.1607, highlighting its relative underperformance. Additionally, the company's stock has underperformed significantly against the S&P 500, with a 1-year return of -47.15% compared to the index's 17.14%, reinforcing the notion of overvaluation.