Is Volcon, Inc. overvalued or undervalued?

As of 11 July 2022, the valuation grade for Volcon, Inc. has moved from does not qualify to risky, indicating a shift in perception regarding its financial health. The company appears to be overvalued given its significant losses and poor performance metrics. Key ratios include a Price to Book Value of 0.17, an EV to EBIT of 0.56, and an EV to EBITDA of 0.58, all suggesting that the company is struggling to generate positive returns relative to its valuation.
In comparison to peers, Volcon's P/E ratio is -13.1348, while Kandi Technologies Group, Inc. and Electrameccanica Vehicles Corp. have P/E ratios of -4.4335 and -0.5793, respectively, highlighting that Volcon is underperforming relative to its industry. Additionally, the company's year-to-date return of -77.89% starkly contrasts with the S&P 500's return of 12.22%, reinforcing the notion that Volcon is currently overvalued in the market.