Is NextNav, Inc. overvalued or undervalued?

As of 12 May 2022, the valuation grade for NextNav, Inc. has moved from does not qualify to risky, indicating a significant shift in its perceived investment quality. The company is currently considered overvalued. Key ratios reflect this concern, with a Price to Book Value of 238.89, an EV to EBITDA of -28.75, and a ROE of -1155.20%.
In comparison to its peers, NextNav's valuation metrics are notably weaker; for instance, Planet Labs PBC has a less severe EV to EBITDA of -29.15, while Karooooo Ltd. shows a fair P/E ratio of 26.91. The high Price to Book Value and negative profitability ratios suggest that NextNav is not positioned favorably within its industry. Despite a strong recent stock performance relative to the S&P 500 over the past year, the underlying financial metrics indicate that the stock may not sustain its current valuation levels.