Yuhuan CNC Machine Tool's high P/E ratio is concerning due to its recent poor growth. If medium-term earnings trends persist, shareholders' investments could be at risk and potential investors might be overpaying.
The market may not value the company based on EPS due to its drop. Modest revenue growth and low dividend yield may not impress investors. The divergence between TSR and share price return is largely due to dividend payments. Last year's performance may indicate unresolved challenges.
Despite declining earnings, the company's high P/E ratio indicates investor optimism. However, considering recent earnings trends and projected market growth, this optimism may not be sustainable. The high P/E ratio and declining earnings make current stock prices seem unreasonable.
A decline in ROCE rate and uninspiring revenue growth suggest that Yuhuan CNC Machine Tool Ltd may be losing its competitive edge and market share. Despite solid past stock performance, the future remains uncertain.
Yuhuan CNC Machine Tool Stock Forum
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