Is Marchex, Inc. overvalued or undervalued?

As of 5 May 2016, the valuation grade for Marchex, Inc. moved from fair to risky, indicating a deterioration in its investment appeal. The company appears to be overvalued, given its negative valuation metrics and poor financial performance. Key ratios include a Price to Book Value of 2.69, an EV to EBIT of -14.99, and an EV to EBITDA of -26.42, all of which suggest significant challenges in profitability and valuation.
In comparison to peers, Marchex's valuation metrics are significantly worse; for instance, IBEX Ltd. has a P/E of 10.62 and an EV to EBITDA of 6.41, indicating a more favorable valuation. Thryv Holdings, Inc. also shows a risky profile but with a P/E of 31.42, further emphasizing Marchex's struggles. Over the past year, Marchex has returned 13.77%, which is notably lower than the S&P 500's 17.14%, reinforcing the notion that the stock is underperforming relative to broader market trends.