When he was a juubi jin, I don't think he was overrated. When he had the rinnegan, I don't think he was overrated. Only time he was overrated was when people said that one MS Obito can one-shot anyone w/ kamui.
Using logic like" how can Itachi beat Obito when he can pass through anything"...facepalm.
We might as well say that the sage of the six paths, madara, and hashirama stand no chance against an MS Obito due to that.
Obito can pass through attacks, but he has to be intangible right before his opponent hits him for the attack to pass through. If his opponent hits him while he's tangible, he will be hurt and essentially screwed over. That was shown when he lost his zetsu arm to Minato's rasengan, when that shinobi from the Aburame clan caused him to lose his zetsu arm once again by infecting it w/ bugs, and when Obito had to use izanagi in order to change reality in order to save his face and part of his upper body from Itachi's amaterasu activation. That and Konan revealed that Obito could only keep his entire body intangible for five minutes max and he had to use izanagi a second time in order to avoid dying by her paper bombs (he took several sharingans from the Uchiha massacre). MS Obito has quite a few weaknesses that can be exploited if you think about it.
