Is Retractable Technologies, Inc. overvalued or undervalued?

As of 15 May 2023, the valuation grade for Retractable Technologies, Inc. has moved from attractive to risky, indicating a significant shift in its financial outlook. The company is currently deemed overvalued given its negative performance metrics, including a Price to Book Value of 0.26 and an EV to EBITDA ratio of 0.96. Additionally, the Return on Equity (ROE) stands at a concerning -32.28%, reflecting substantial losses.
In comparison to its peers, Retractable Technologies, Inc. shows a less favorable position, with Delcath Systems, Inc. and Neuronetics, Inc. also classified as risky but exhibiting even more extreme negative P/E ratios of -509.51 and -5.27, respectively. The overall industry sentiment appears bleak, with many companies in the same category struggling to maintain positive valuations. The stock's performance has lagged significantly behind the S&P 500, with a one-year return of -44.44% compared to the index's 10.26%. This combination of factors suggests that Retractable Technologies, Inc. is currently overvalued in the market.