Investors expect the company to underperform the broader market due to its low P/E ratio. If Bosun's limited growth rates persist, a strong share price rise seems unlikely.
Bosun's ROCE trend is uninspiring, with reinvestment yielding the same low returns. Market sentiment is pessimistic about these trends improving soon. Underlying trends hint at better multi-bagger opportunities elsewhere.
Bosun's low P/E ratio is due to poor earnings performance and the anticipation of this trend persisting. Shareholders accept the low P/E, expecting no future earnings surprises. If recent earnings trends persist, a strong share price rise seems unlikely.
Despite Bosun's capital reinvestment, returns stay low, marking a 12% stock loss in the past five years, a trend unlikely to improve given current market sentiment.
Bosun Co.,Ltd Stock Forum
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