Is Matinas BioPharma Holdings, Inc. overvalued or undervalued?

As of 9 May 2024, Matinas BioPharma Holdings, Inc. has moved from a valuation grade of risky to does not qualify. The company is currently considered overvalued given its significant financial challenges, including a price-to-book value of 0.75 and an EV to EBITDA ratio of 0.09, which indicate poor financial health and operational inefficiency. The return on equity (ROE) is alarmingly low at -256.46%, highlighting the company's struggles to generate profit from its equity base.
In comparison to its peers, Matinas BioPharma's valuation metrics are concerning. For instance, ASP Isotopes, Inc. has a P/E ratio of -24.0140, while ARCA biopharma, Inc. shows a P/E of -5.3909, both indicating a similarly distressed financial state. Furthermore, the company's stock has underperformed significantly over the past year, with a return of -88.56% compared to the S&P 500's gain of 10.26%, reinforcing the notion that Matinas BioPharma is overvalued in its current state.