Zhejiang Huamei Holding Stock Forum

Zhejiang Huamei Holding's high P/E ratio is worrisome due to its limited growth and falling earnings. Investors are banking on a business turnaround, but without significant improvement, the high P/E ratio may not be sustainable.

Despite Zhejiang Huamei Holding's share price drop, its P/E remains high. Investors remain bullish, unwilling to sell their stock. If recent earnings trends persist, shareholders' investments are at risk and potential investors may pay an excessive premium.

Despite Zhejiang Huamei Holding's recent poor growth, its high P/E ratio shows investors possibly anticipating a turnaround. Persistence of medium-term earnings trends could risk a significant stock price drop, hence potential dangers for investors paying an excess premium.