Jiangsu Yawei Machine Tool Stock Forum

Despite recent revenue decline, shareholders are content with medium-term growth rates. The current P/S ratio indicates shareholders' confidence in the company's future revenue prospects.

Investors may overlook EPS decline as the company possibly sacrifices current earnings for growth. The 75% total shareholder return over 5 years, surpassing share price return, is likely due to dividends.

Jiangsu Yawei Machine Tool's declining ROCE and steady capital employed may suggest a mature business facing new competition or smaller margins. The rise in the ratio of current liabilities to total assets, effectively having suppliers or short-term creditors fund a large part of the business, introduces some risks. These trends do not bode well for the company's long-term performance.

Investors appear unbothered by EPS misalignment with share price, likely prioritising revenue growth. The company's five-year total shareholder return, impressive at 17% p.a., reinforces this.