Is MarketWise, Inc. overvalued or undervalued?

As of 9 February 2021, the valuation grade for MarketWise, Inc. has moved from does not qualify to risky, indicating a significant shift in its perceived investment quality. The company appears to be undervalued, with a P/E ratio of 3, an EV to EBIT of 2.62, and an EV to EBITDA of 2.54, suggesting that the market may not fully recognize its potential.
In comparison to its peers, MarketWise's P/E ratio is notably lower than that of Iris Energy Ltd., which has a P/E of -67.14, and Bitdeer Technologies Group at -13.13, both classified as risky. The company's PEG ratio of 0.07 further reinforces its undervaluation relative to the market. While MarketWise has underperformed over the past year with a -24.46% return compared to the S&P 500's 10.26%, its recent YTD return of 59.74% indicates a potential recovery and growing investor interest.