Is MacroGenics, Inc. overvalued or undervalued?

As of 7 March 2024, the valuation grade for MacroGenics, Inc. has moved from attractive to risky, indicating a significant deterioration in its valuation outlook. The company appears to be overvalued given its current metrics, particularly with a Price to Book Value of 1.42, an EV to EBIT of 0.37, and an EV to EBITDA of 0.40, which suggest that the market is pricing the stock higher than its underlying financial performance justifies.
When compared to peers, MacroGenics shows a notably poor performance with a valuation of -3.0562, while KalVista Pharmaceuticals, Inc. has a similar risky rating at -4.3845, and Coherus BioSciences, Inc. is at -1.0829. This indicates that MacroGenics is not only struggling relative to its peers but also reflects a broader trend of underperformance, as evidenced by its year-to-date return of -46.77% compared to the S&P 500's 12.22%. Overall, the combination of its valuation metrics and poor stock performance suggests that MacroGenics, Inc. is overvalued in the current market environment.