Is Sunworks, Inc. overvalued or undervalued?

As of 10 November 2016, Sunworks, Inc. has moved from a very attractive to a risky valuation grade. This significant downgrade indicates that the company is currently overvalued. Key financial ratios reveal troubling metrics, including a P/E ratio of -0.0006, an EV to EBIT ratio of 0.01, and an ROE of -168.89%, which highlight the company's negative performance and financial instability.
In comparison to its peers, Sunworks, Inc. shows a stark contrast with companies like Servotronics, Inc., which has a P/E ratio of -125.8754, and CBAK Energy Technology, Inc. with a P/E of -63.9716, both categorized as risky as well. The overall peer group reflects a challenging environment, with many companies exhibiting negative valuations. Given these factors, Sunworks, Inc. is assessed as overvalued, particularly in light of its poor financial ratios and the broader context of its peers.