Is Rocket Lab USA, Inc. overvalued or undervalued?

As of 3 August 2021, Rocket Lab USA, Inc. has moved from a grade of "does not qualify" to "risky." The company is currently considered overvalued given its high price-to-book value of 33.52 and negative ratios such as an EV to EBITDA of -83.52 and a return on equity (ROE) of -47.89%. These metrics indicate significant financial challenges, particularly in profitability and operational efficiency.
In comparison to its peers, Rocket Lab's valuation appears unfavorable. For instance, AeroVironment, Inc. has a P/E ratio of 259.58, while Mercury Systems, Inc. shows a more negative EV to EBITDA of 72.92, yet both companies are perceived as having more stable valuations than Rocket Lab. Additionally, Rocket Lab's recent stock performance has outpaced the S&P 500, with a 1-year return of 554.29% compared to the S&P 500's 10.26%, which may not be sustainable given its current financial metrics.