Is Newegg Commerce, Inc. overvalued or undervalued?

As of 9 February 2023, the valuation grade for Newegg Commerce, Inc. moved from very expensive to risky, indicating a significant shift in perception. The company appears to be overvalued given its current financial metrics, particularly with a Price to Book Value of 1.66 and a troubling ROCE of -124.35%. The EV to Sales ratio stands at a mere 0.10, suggesting that the market is not valuing the company's sales effectively.
In comparison to peers, Newegg's P/E ratio is not applicable due to its loss-making status, while Groupon, Inc. has a P/E of -52.51, and Revolve Group, Inc. shows a more favorable P/E of 28.10. The EV to EBITDA for Newegg is -3.00, which is considerably worse than the attractive peers like Liquidity Services, Inc. with an EV to EBITDA of 15.23. Overall, Newegg Commerce, Inc. is overvalued, especially in light of its recent stock performance, which has significantly underperformed against the S&P 500 over the past year.