Skymission Group Holdings Limited (HKG:1429) shares have had a really impressive month, gaining 26% after a shaky period beforehand. Unfortunately, the gains of the last month did little to right the losses of the last year with the stock still down 19% over that time.
Although its price has surged higher, there still wouldn't be many who think Skymission Group Holdings' price-to-sales (or "P/S") ratio of 0.1x is worth a mention when the median P/S in Hong Kong's Construction industry is similar at about 0.3x. Although, it's not wise to simply ignore the P/S without explanation as investors may be disregarding a distinct opportunity or a costly mistake.
SEHK:1429 Price to Sales Ratio vs Industry May 23rd 2024
How Skymission Group Holdings Has Been Performing
For instance, Skymission Group Holdings' receding revenue in recent times would have to be some food for thought. One possibility is that the P/S is moderate because investors think the company might still do enough to be in line with the broader industry in the near future. If not, then existing shareholders may be a little nervous about the viability of the share price.
We don't have analyst forecasts, but you can see how recent trends are setting up the company for the future by checking out our free report on Skymission Group Holdings' earnings, revenue and cash flow.
How Is Skymission Group Holdings' Revenue Growth Trending?
Skymission Group Holdings' P/S ratio would be typical for a company that's only expected to deliver moderate growth, and importantly, perform in line with the industry.
Retrospectively, the last year delivered a frustrating 8.9% decrease to the company's top line. Unfortunately, that's brought it right back to where it started three years ago with revenue growth being virtually non-existent overall during that time. Therefore, it's fair to say that revenue growth has been inconsistent recently for the company.
Comparing that to the industry, which is predicted to deliver 11% growth in the next 12 months, the company's momentum is weaker, based on recent medium-term annualised revenue results.
With this information, we find it interesting that Skymission Group Holdings is trading at a fairly similar P/S compared to the industry. Apparently many investors in the company are less bearish than recent times would indicate and aren't willing to let go of their stock right now. Maintaining these prices will be difficult to achieve as a continuation of recent revenue trends is likely to weigh down the shares eventually.
What Does Skymission Group Holdings' P/S Mean For Investors?
Skymission Group Holdings' stock has a lot of momentum behind it lately, which has brought its P/S level with the rest of the industry. Using the price-to-sales ratio alone to determine if you should sell your stock isn't sensible, however it can be a practical guide to the company's future prospects.
We've established that Skymission Group Holdings' average P/S is a bit surprising since its recent three-year growth is lower than the wider industry forecast. When we see weak revenue with slower than industry growth, we suspect the share price is at risk of declining, bringing the P/S back in line with expectations. Unless there is a significant improvement in the company's medium-term performance, it will be difficult to prevent the P/S ratio from declining to a more reasonable level.
There are also other vital risk factors to consider before investing and we've discovered 2 warning signs for Skymission Group Holdings that you should be aware of.
If strong companies turning a profit tickle your fancy, then you'll want to check out this free list of interesting companies that trade on a low P/E (but have proven they can grow earnings).
Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Skymission Group Holdings Limited(HKG:1429)股票經歷動盪時期後,經歷了一個非常令人印象深刻的月份,上漲了26%。不幸的是,上個月的收益對過去一年的虧損幾乎沒有起到任何修正作用,股價在此期間仍然下跌了19%。
儘管Skymission Group Holdings'的股價已經大幅上漲,但是當香港建造業的市銷率中位數約爲0.3x時,很少有人認爲其市銷率0.1x值得一提。儘管如此,不明確說明市銷率是不明智的,因爲投資者可能會忽略明顯的機會或昂貴的錯誤。
SEHK:1429 市銷率與行業的比較(2024年5月23日)
Skymission Group Holdings 近況
例如,Skymission Group Holdings最近的營收下滑可能會引發一些思考。 一種可能性是,投資者認爲該公司可能仍然會在不久的將來跟上整個行業。如果不是這樣的話,那麼現有股東可能會對股價的可行性有些緊張。我們沒有分析師預測,但您可以查看我們關於Skymission Group Holdings收益、營收和現金流的免費報告,了解最近的趨勢如何爲該公司未來做好準備。
Skymission Group Holdings 的收益,營業收入和現金流的免費報告未顯示分析師預測,但您可以看到最近的趨勢如何爲公司未來做好準備。
Skymission Group Holdings 的營業收入增長趨勢如何?
Skymission Group Holdings 的市銷率對於預計只能提供溫和增長,而且重要的是,表現與行業相符合的公司是相當典型的。
回顧過去一年,該公司的營業收入呈現出令人沮喪的8.9%下降。不幸的是,這使其回到三年前的起點,該時期內整體營業收入增長几乎不存在。因此,最近該公司的營業收入增長是不一致的。有了這些信息,我們發現Skymission Group Holdings 的市銷率與行業相當類似是有趣的。顯然,該公司的許多投資者比最近的時期看淡要少,他們現在也不願放棄股票。維持這些價格將很難實現,因爲最近的營業收入趨勢的延續很可能會最終拖累股票。
相比之下,預計未來12個月將實現11%增長的行業而言,公司近中期年化營收的增長勢頭較弱。
Skymission Group Holdings' 股票最近有很多勢頭,這使得其市銷率與整個行業持平。僅僅使用市銷率來決定是否應該賣出股票是不明智的,但是它可以是公司未來前景的一個實用指南。
Skymission Group Holdings 的市銷率對投資者意味着什麼?
Skymission Group Holdings' 的股票最近有很多勢頭,這使得其市銷率與整個行業持平。僅僅使用市銷率來決定是否應該賣出股票是不明智的,但是它可以是公司未來前景的一個實用指南。
我們已經確認,Skymission Group Holdings' 的平均市銷率有些令人驚訝,因爲其最近三年的增長低於行業預測。當我們看到營收疲軟,增長速度低於行業增長速度時,我們懷疑股價有下降的風險,將市銷率帶回符合預期的水平。除非該公司在中期表現顯著提高,否則很難阻止市銷率下降到更合理的水平。
在投資之前需要考慮其他重要的風險因素,我們發現了2個Skymission Group Holdings 的警示信號,您應該注意。