Is The Joint Corp. (United States) overvalued or undervalued?

As of 7 March 2024, The Joint Corp. has moved from a fair to a risky valuation grade, indicating a significant deterioration in its financial outlook. The company is currently considered overvalued, particularly given its negative earnings and poor return metrics. Key ratios include a Price to Book Value of 9.25, an EV to EBITDA of 56.15, and a ROE of -28.80%.
In comparison to its peers, The Joint Corp. stands out negatively with a P/E ratio of -29.46, while Aveanna Healthcare Holdings, Inc. has a P/E of 21.61 and Nutex Health, Inc. is notably attractive with a P/E of 4.26. The company's recent stock performance has also lagged behind the S&P 500, with a 1-year return of -20.66% compared to the index's 10.26%. Overall, the financial metrics and peer comparisons suggest that The Joint Corp. is overvalued in its current state.