Sensteed Hi-Tech Group's high P/S ratio is alarming due to its recent negative growth rates. If trends persist, shareholders could face substantial risk. The company's robust revenue growth may not be sustainable, questioning the high P/S ratio's justification.
The company's balance sheet is in poor shape, with a significant deficit and a large EBIT loss. Its debt is viewed as a risk, particularly given its negative free cash flow over the past year. The stock is deemed highly risky.
Sensteed Hi-tech Group's recent revenue growth is clouded by a three-year decline. Its current P/S ratio may spell disappointment for shareholders. Market sentiment could deteriorate unless medium-term conditions improve.
The 8% fall in share price over five years reflects the reduction in annual revenue, indicating investor dissatisfaction. Sensteed Hi-Tech Group's potential stability is counterbalanced by 2 warning signs, hindering investment without clear growth evidence.
Despite revenue growth, the heavy EBIT loss and large long-term liabilities suggest the company is heavily reliant on debt. The balance sheet is deemed 'far from match-fit', indicating high risk in the stock.
Sensteed Hi-tech Group Stock Forum
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