Is Moderna, Inc. overvalued or undervalued?

As of 2 November 2023, the valuation grade for Moderna, Inc. has moved from expensive to risky, indicating a significant deterioration in its financial outlook. Based on the available metrics, the company appears to be overvalued. Key ratios include a Price to Book Value of 1.05, an EV to Sales ratio of 1.48, and a troubling ROCE of -90.22%. In comparison, Illumina, Inc. has a fair valuation with a P/E of 19.09, while BioMarin Pharmaceutical, Inc. also maintains a fair valuation with a P/E of 15.17.
Moderna's stock has underperformed significantly against the S&P 500, with a year-to-date return of -38.79% compared to the S&P 500's 12.22%. This stark contrast further supports the conclusion that the stock is overvalued in the current market environment.