Is Trevena, Inc. overvalued or undervalued?

As of 8 July 2024, Trevena, Inc. has moved from a risky to a does not qualify valuation grade. The company appears to be overvalued given its negative valuation ratios, including a Price to Book Value of -0.04, an EV to EBIT of -0.66, and an EV to EBITDA of -0.67. Comparatively, peers such as Neurosense Therapeutics Ltd. have a significantly lower EV to EBITDA of -2.5448, indicating that Trevena's valuation metrics are not competitive within the industry.
The stock has underperformed dramatically, with a year-to-date return of -83.33% compared to the S&P 500's positive return of 12.22%. Over the past year, Trevena's stock has declined by 94.38%, further emphasizing its overvaluation in the current market context.