Is SIFCO Industries, Inc. overvalued or undervalued?

As of 10 December 2021, SIFCO Industries, Inc. has moved from a fair to a risky valuation grade. The company is considered overvalued given its current financial metrics. The price-to-book value stands at 0.68, while the EV to EBITDA ratio is relatively high at 7.87, indicating potential overvaluation compared to its earnings. Additionally, the return on equity (ROE) is notably negative at -18.23%, further supporting the overvaluation assessment.
In comparison to peers, SIFCO's EV to EBIT ratio of 33.19 is significantly higher than that of Byrna Technologies, Inc., which has a fair valuation with a P/E ratio of 47.65, and TAT Technologies Ltd., also fairly valued with a P/E of 25.25. The company's recent stock performance shows a 24.83% return over the past year, which is better than the S&P 500's 10.26% return, but this does not mitigate the overall overvaluation indicated by its financial ratios and peer comparisons.