Is Upexi, Inc. overvalued or undervalued?

As of 28 September 2022, the valuation grade for Upexi, Inc. moved from attractive to risky, indicating a shift in perception regarding its financial health. Based on the available metrics, Upexi appears to be overvalued, particularly given its extreme P/B ratio of 229.66 and negative EV to EBITDA of -44.95, which suggest significant challenges in generating earnings relative to its valuation. Additionally, the company's ROE stands at a concerning -616.52%, further highlighting its struggles.
In comparison to its peers, Upexi's valuation ratios are notably unfavorable; for instance, Chromadex Corp. has a P/E of 39.82, while LifeVantage Corp. shows a more reasonable P/E of 14.81. This stark contrast underscores Upexi's risky standing in the market. Despite a strong year-to-date return of 94.3% compared to the S&P 500's 12.22%, the long-term performance reveals a troubling trend, with a 3-year return of -91.48%, suggesting that the recent gains may not be sustainable.