Rendong Holdings' lack of growth and declining revenues may lead to a future share price decline. The current share price may not be seen as fair value unless medium-term conditions improve significantly.
The company's P/S ratio aligns with the industry despite a 35% revenue drop over three years, hinting at potential future disappointment for shareholders. The current P/S may not be sustainable with recent revenue trends. The performance is worse than struggling industry forecasts, risking shareholders' investments and potential investors paying an unnecessary premium.
The 24% annualized share price drop shows the danger in putting money into unprofitable firms. Investors have suffered a 9% per annum loss over the last half decade which necessitates clear signs of company growth for faith in price stability.
Rendong Holdings Stock Forum
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