Is ON24, Inc. overvalued or undervalued?

As of 9 November 2021, the valuation grade for ON24, Inc. has moved from expensive to risky, indicating a significant shift in its perceived value. The company is currently assessed as overvalued. Key ratios reveal a Price to Book Value of 1.53, a negative EV to EBIT of -1.20, and a negative ROE of -24.72%. These figures suggest that the company is struggling financially, with losses impacting its valuation metrics.
In comparison to its peers, ON24, Inc. shows a P/E ratio of -5.98, which is less favorable than Cognyte Software Ltd.'s P/E of -196.07 and Domo, Inc.'s P/E of -7.30, both of which also reflect challenging market conditions. The company's recent stock performance has been underwhelming, with a year-to-date return of -19.2%, significantly lagging behind the S&P 500's gain of 2.44% during the same period. Overall, these indicators reinforce the conclusion that ON24, Inc. is currently overvalued in the market.