Despite the company's P/S ratio aligning with the industry, the recent poor growth and forecasted industry expansion of 9.0% may disappoint investors. The current P/S ratio may not be sustainable due to dismal revenue performance. Investors may struggle to see fair value unless conditions significantly improve.
Revenue growth without profit explains the 32% stock drop last year. The continuous loss over five years and persistent share price weakness might not bode well for long-term investment.
The company's declining revenue mixed with its EBIT loss sparks worries about its debt management. Their burn of CN¥239m in the past year amplifies these concerns, signaling a risky financial state.
Aoyuan Beauty Valley Technology Stock Forum
No comment yet