Is Screaming Eagle Acquisition Corp. overvalued or undervalued?

As of 8 August 2024, the valuation grade for Screaming Eagle Acquisition Corp. has moved from does not qualify to risky. The company is currently considered overvalued given its negative price-to-book value of -1.77 and a high EV to EBITDA ratio of 2.10, which suggests that the market is pricing in significant risk without corresponding earnings. Additionally, the company has a P/E ratio that is not applicable due to its loss-making status, further complicating its valuation.
In comparison to its peers, Screaming Eagle Acquisition Corp. shows a stark contrast with AltC Acquisition Corp., which has a P/E ratio of -158.57, while International General Insurance Holdings Ltd. presents a more favorable valuation with a P/E of 8.22. The company's recent stock performance has also been poor, with a year-to-date return of -20.56%, significantly underperforming the S&P 500's return of 2.44% in the same period. Overall, the combination of negative financial metrics and poor relative performance indicates that Screaming Eagle Acquisition Corp. is overvalued.