Is SIGNA Sports United NV overvalued or undervalued?

As of 10 May 2021, SIGNA Sports United NV has moved from a grade of "does not qualify" to "risky," indicating a significant change in its valuation outlook. The company appears to be overvalued given its negative P/E ratio of -0.0004, which starkly contrasts with peers such as The Honest Co., Inc. with a P/E of 40.86 and Sportsman's Warehouse Holdings, Inc. at -4.29. Additionally, the EV to EBITDA ratio is not applicable, further complicating the valuation picture.
In comparison to its peers, SIGNA Sports United NV's financial metrics suggest it is not performing well, as evidenced by its negative ratios against the backdrop of other companies in the sector. The overall assessment leads to the conclusion that SIGNA Sports United NV is overvalued, especially considering its dismal stock performance over the past three years, where it has seen a return of -100% compared to a 58.74% gain in the S&P 500.