Is Tutor Perini Corp. overvalued or undervalued?

As of 5 August 2022, Tutor Perini Corp. has moved from a fair valuation to a risky grade, indicating a significant deterioration in its financial outlook. The company is currently deemed overvalued given its negative earnings and poor return metrics, with a P/E ratio of NA due to losses, a Price to Book Value of 1.84, and an EV to EBITDA of -60.95. These figures highlight the company's struggles to generate profit and return on capital, with a ROCE of -7.78% and ROE of -9.23%.
In comparison to its peers, Tutor Perini Corp. lags significantly behind companies like Argan, Inc., which has a P/E ratio of 28.81 and EV to EBITDA of 21.40, and Great Lakes Dredge & Dock Corp. with a P/E of 11.30 and EV to EBITDA of 7.49. The stark contrast in these ratios underscores the challenges Tutor Perini faces in the current market. Despite a strong performance in stock returns over the past year, outpacing the S&P 500, the underlying financial metrics suggest that the company is overvalued at its current price of $43.30.