Is MicroCloud Hologram, Inc. overvalued or undervalued?

As of 14 March 2023, the valuation grade for MicroCloud Hologram, Inc. has moved from fair to risky, indicating a significant deterioration in its perceived value. The company is currently assessed as overvalued given its troubling financial metrics, including a price-to-book value of 0.10 and an EV to EBITDA ratio of 10.20. Notably, the company is loss-making, with a negative ROE of -4.12% and an alarming EV to Capital Employed ratio of -105.24.
When compared to peers, MicroCloud's performance is concerning. For instance, Aeva Technologies, Inc. has a worse P/E ratio of -9.9038 and Ouster, Inc. shows a P/E of -10.7293, both indicating significant challenges in profitability. The overall industry appears to be struggling, with all comparable companies classified as risky. Given these factors, MicroCloud Hologram, Inc. is deemed overvalued in the current market environment.