Is MicroVision, Inc. overvalued or undervalued?

As of 9 May 2023, the valuation grade for MicroVision, Inc. has moved from does not qualify to risky, indicating a shift in perception regarding its financial health. The company appears to be overvalued, as evidenced by its Price to Book Value of 5.34, an EV to EBIT of -3.62, and an EV to EBITDA of -4.00, all of which suggest significant challenges in generating positive returns.
When compared to peers, MicroVision's valuation ratios are concerning; for instance, indie Semiconductor, Inc. has an EV to EBITDA of -9.7450, while Canadian Solar, Inc. stands at 10.8902, highlighting a stark contrast in performance. Furthermore, MicroVision's recent stock performance shows a 10.62% return over the past month, which is better than the S&P 500's 2.33%, but the longer-term view reveals a troubling -69.95% return over three years compared to the S&P 500's 70.41%. This disparity reinforces the notion that MicroVision is currently overvalued.