Is MagnaChip Semiconductor Corp. overvalued or undervalued?

As of 16 February 2023, the valuation grade for MagnaChip Semiconductor Corp. has moved from expensive to risky, indicating a deteriorating outlook. The company appears to be overvalued given its negative financial metrics, including a Price to Book Value of 0.62, an EV to EBITDA of -2.53, and a ROCE of -24.54%. In comparison, peers such as indie Semiconductor, Inc. have an EV to EBITDA of -9.7450, while CEVA, Inc. shows a significantly higher P/E ratio at -57.8847, highlighting the relative weakness of MagnaChip's valuation.
The stock has underperformed against the S&P 500 in multiple periods, with a year-to-date return of -17.16% compared to the S&P 500's 12.22%, and a staggering 10-year return of -74.46% versus the S&P 500's 231.64%. This performance reinforces the view that MagnaChip is overvalued in its current state.