Is Sabre Corp. overvalued or undervalued?

As of 8 May 2020, the valuation grade for Sabre Corp. has moved from very attractive to risky, indicating a significant shift in investor sentiment. The company appears to be overvalued given its current financial metrics, particularly with a P/E ratio that is not applicable due to losses, a Price to Book Value of -0.72, and an EV to EBITDA ratio of 12.95. These figures suggest that the market is pricing in expectations that may not be justified by the company's current performance.
In comparison to peers, E2open Parent Holdings, Inc. has a P/E ratio of -9.63 and an EV to EBITDA of 11.41, while Corsair Gaming, Inc. shows a P/E of -10.28 but an extremely high EV to EBITDA of 98.11. These comparisons highlight that Sabre Corp. is not only underperforming relative to its peers but also carries a higher valuation risk. Furthermore, the company's recent stock performance has lagged behind the S&P 500, with a year-to-date return of -25.48% compared to the S&P's 2.44%, reinforcing the notion that Sabre Corp. is currently overvalued.