Despite growth, the market appears less enthusiastic about Shenzhen Guangju Energy. Yet, optimism persists, reflected in the high P/E ratio. The recent rise in total shareholder return may suggest business improvement over time.
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.
Shenzhen Guangju Energy Stock Forum
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