Is Prospector Capital Corp. overvalued or undervalued?

As of 14 August 2024, the valuation grade for Prospector Capital Corp. has moved from does not qualify to risky, indicating a significant deterioration in its financial standing. The company is considered overvalued given its negative valuation ratios, including a Price to Book Value of -0.17 and an EV to EBITDA of -2.34, which suggest that the market is pricing the stock unfavorably compared to its underlying assets and earnings potential. Additionally, its EV to Sales ratio stands at 60.11, reflecting an excessive valuation relative to its sales.
In comparison to peers, Prospector Capital Corp. has a P/E ratio of -0.0050, while Alset Capital Acquisition Corp. shows a more typical risky valuation with a P/E of -9.2613, and A SPAC II Acquisition Corp. has a P/E of 65.4117, indicating a stark contrast in market perceptions. The company's stock has significantly underperformed against the S&P 500, with a year-to-date return of -99.53% compared to the index's 12.22%, reinforcing the narrative of overvaluation amidst its financial struggles.