Is SCYNEXIS, Inc. overvalued or undervalued?

As of 8 August 2024, the valuation grade for SCYNEXIS, Inc. has moved from attractive to risky, indicating a significant deterioration in its valuation outlook. The company appears to be overvalued, particularly given its negative financial metrics. Key ratios include a Price to Book Value of 0.71, an EV to EBIT of 0.13, and an EV to EBITDA of 0.13, all of which suggest that the company is struggling to generate positive returns relative to its valuation.
In comparison to peers, SCYNEXIS, Inc. has a notably low EV to EBITDA ratio of 0.13, while CytomX Therapeutics, Inc., which is rated very attractive, boasts a much higher EV to EBITDA of 4.6280. Other peers such as Chimerix, Inc. and Aquestive Therapeutics, Inc. also show negative valuations, but SCYNEXIS's performance stands out as particularly weak. Additionally, the company's stock has underperformed significantly compared to the S&P 500, with a year-to-date return of -9.92% versus the S&P 500's 12.22%, reinforcing the notion of its overvaluation.