Is Outlook Therapeutics, Inc. overvalued or undervalued?

As of 23 December 2020, the valuation grade for Outlook Therapeutics, Inc. moved from risky to does not qualify, indicating a significant downgrade in its investment appeal. The company is currently considered overvalued given its negative financial metrics, including a Price to Book Value of -2.51 and an EV to EBIT of -1.40. The company's return on equity (ROE) is also negative, reflecting poor financial performance.
In comparison to its peers, Outlook Therapeutics, Inc. has a less favorable position, with ADC Therapeutics SA rated as risky and showing a P/E of -2.1005, while Kinnate Biopharma, Inc. is rated fair with an EV to EBITDA of 0.2381. The stark contrast in valuations suggests that Outlook Therapeutics, Inc. is not only overvalued but also struggles significantly against its peers. Over the past year, the stock has underperformed drastically, with a return of -77.98% compared to the S&P 500's gain of 10.26%, reinforcing the notion of its overvaluation.