Is Rubicon Technologies, Inc. overvalued or undervalued?

As of 9 November 2022, Rubicon Technologies, Inc. has moved from a grade of "does not qualify" to "risky." The company is currently overvalued given its financial metrics and performance indicators. Key ratios include an EV to EBITDA of -4.87, an EV to EBIT of -4.30, and a return on capital employed (ROCE) of -96.05%.
In comparison to its peers, Rubicon's valuation metrics are significantly worse; for instance, Matterport, Inc. has an EV to EBITDA of -10.16, while Planet Labs PBC shows an EV to EBITDA of -29.15. The stark contrast with Karooooo Ltd., which has a fair valuation with a P/E ratio of 26.91, further highlights Rubicon's overvaluation. Additionally, the company's stock has seen a dramatic decline, with a year-to-date return of -98.96%, which contrasts sharply with the S&P 500's positive return of 2.44% during the same period.