Is Titan Pharmaceuticals, Inc. overvalued or undervalued?

As of 11 August 2022, Titan Pharmaceuticals, Inc. has moved from a grade of risky to does not qualify, indicating a significant deterioration in its valuation outlook. The company is currently deemed overvalued given its negative financial metrics, including a Price to Book Value of 2.26 and an alarming ROE of -224.24%. Additionally, the EV to EBIT and EV to EBITDA ratios are both at -0.57, reflecting a concerning financial position.
In comparison with its peers, Titan Pharmaceuticals shows a stark contrast, with Inhibikase Therapeutics, Inc. and Tenax Therapeutics, Inc. also not qualifying but exhibiting less severe metrics. The negative capital employed and the absence of a P/E ratio further highlight the company's struggles. Despite a recent stock return of 36.50% year-to-date, this does not compensate for the long-term underperformance against the S&P 500, which raises further concerns about the sustainability of its current valuation.