Is Prelude Therapeutics, Inc. overvalued or undervalued?

As of 6 November 2024, Prelude Therapeutics, Inc. has moved from a grade of does not qualify to risky. The company appears to be overvalued given its negative financial metrics and valuation ratios. The Price to Book Value stands at 0.56, the EV to EBIT is at 0.27, and the EV to EBITDA is at 0.28, indicating significant challenges in profitability and valuation relative to its assets.
In comparison to its peers, Prelude Therapeutics has a less favorable position; for instance, TriSalus Life Sciences, Inc. has a P/E ratio of -6.9780 and an EV to EBITDA of -8.5259, while Seer, Inc. has an EV to EBITDA of 1.1233. Prelude's negative returns are stark, with a year-to-date decline of -20.78% compared to the S&P 500's gain of 12.22%, and a one-year return of -58.61% against the S&P 500's 17.14%. These figures further reinforce the notion that the stock is overvalued in its current state.