Jianshe Industry Group's high P/E ratio could be a bearish signal due to poor financial performance and declining earnings. Despite hopes for a business turnaround, continued earnings trends may negatively impact share price. The company's three-year earnings trends aren't impacting its high P/E as much as expected, given they look worse than current market expectations.
Despite Jianshe Industry Group's net cash, its revenue shrinkage and loss before interest and tax over the last year raise concerns about its risk level. Caution is advised until the company shows positive EBIT.
Jianshe Industry is less risky considering its net cash and statutory profit. Yet its EBIT loss coupled with feeble revenue growth call for caution. Off-balance sheet, long-term risks require scrutiny.
Jianshe Industry Group Stock Forum
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