Is Y-mAbs Therapeutics, Inc. overvalued or undervalued?

As of 25 February 2021, the valuation grade for Y-mAbs Therapeutics, Inc. has moved from does not qualify to risky, indicating a significant downgrade in its investment appeal. The company appears to be overvalued given its current financial metrics, including a Price to Book Value of 2.67 and an EV to Sales ratio of 2.02, which suggest that the stock is trading at a premium compared to its underlying assets and sales performance. Additionally, the company has a negative ROCE of -104.17% and a negative ROE of -31.56%, highlighting its struggles in generating returns for shareholders.
In comparison to its peers, Y-mAbs has a P/E ratio of -17.56, which is significantly worse than Lexicon Pharmaceuticals, Inc. at -3.53 and scPharmaceuticals, Inc. at -4.39, indicating that it is underperforming relative to its industry counterparts. Furthermore, the company's stock has underperformed against the S&P 500 over various periods, with a one-year return of -39.83% compared to the index's gain of 17.14%. This performance reinforces the notion that Y-mAbs is currently overvalued in the market.