Is OraSure Technologies, Inc. overvalued or undervalued?

As of 25 February 2025, the valuation grade for OraSure Technologies, Inc. has moved from fair to risky, indicating a significant shift in its financial outlook. The company appears to be overvalued given its current metrics, particularly with a P/E ratio of NA due to losses, a price-to-book value of 0.55, and an EV to EBITDA ratio of 1.09. The return on equity (ROE) stands at -6.96%, reflecting ongoing challenges in generating profits.
In comparison to its peers, OraSure's valuation is notably weaker, with Artivion, Inc. and IRadimed Corp. showing P/E ratios of -111.78 and 37.26, respectively, highlighting a stark contrast in performance. Additionally, the company's recent stock performance has been underwhelming, with a year-to-date return of -16.07% compared to a modest 2.44% return from the S&P 500, reinforcing the notion that OraSure is currently overvalued in the market.