The firm's high-profit retention contrasts with a low return rate and declining earnings, hinting at operational inefficiency. Despite consistent dividends for a decade, weak ROE stalls earnings growth. A cautious approach is advised given these conflicting financial trends.
Shenzhen Guangju Energy, a mature, stable business with low investment needs, may not be a future multi-bagger unless significant shifts in ROCE and investment behavior occur. There may be better multi-bagger opportunities elsewhere.