Third gear is usually 1:1 if no changes were made to the vehicle, and that's the gear used in a dyno test. If your car comes stock with 3.07 and you change to 3.55 or 4.10 gears then 3rd gear would no longer be 1:1 and you'd see higher dyno numbers, which would have to be compensated for to get accurate HP/TQ figures.
Overrated in terms of HP and Torque ratings? The dyno would have had to have been off by more than 20% for that to be a valid claim. The Gen 4 was a Honda S2000 with a V10 and weak sales proved it...I wouldn't go so far as to call it a legend so much as an exercise in what the Viper is not.