Is Nexa Resources SA overvalued or undervalued?

As of 27 April 2023, the valuation grade for Nexa Resources SA has moved from very attractive to risky, indicating a significant shift in market perception. The company is currently assessed as overvalued. Key ratios include a Price to Book Value of 0.74, an EV to EBITDA of 3.40, and a ROCE of 12.29%. Comparatively, Centrus Energy Corp. has a P/E ratio of 30.18 and an EV to EBITDA of 30.12, while U.S. Silica Holdings, Inc. shows a P/E of 12.49 and an EV to EBITDA of 5.30, highlighting the disparity in valuation metrics.
Nexa's recent performance has been poor, with a year-to-date return of -45.68%, contrasting sharply with the S&P 500's gain of 2.44% over the same period. This underperformance, combined with the company's negative ROE of -16.76% and the overall risky valuation grade, reinforces the conclusion that Nexa Resources SA is overvalued in the current market environment.