Is Moderna, Inc. overvalued or undervalued?

As of 2 November 2023, Moderna, Inc. has moved from a fair to a risky valuation grade. The company is currently assessed as overvalued, given its significant losses reflected in key financial ratios. The price-to-book value stands at 1.05, while the EV to EBITDA is a concerning -1.33, indicating negative earnings before interest, taxes, depreciation, and amortization. Additionally, the return on equity (ROE) is at -33.35%, highlighting the company's struggles to generate profit from shareholders' equity.
In comparison to its peers, Moderna's valuation metrics are starkly unfavorable. For instance, Amgen, Inc. has a P/E ratio of 21.64 and an EV to EBITDA of 14.12, while Biogen, Inc. shows a P/E of 12.66 and an EV to EBITDA of 8.78, both indicating a healthier financial position. Furthermore, Moderna's stock has underperformed significantly against the S&P 500, with a year-to-date decline of 38.26% compared to a modest gain of 2.44% for the index, reinforcing the notion of overvaluation amidst its current financial struggles.