CDB LEASING Stock Forum

Investors may be less bearish on the company despite its slower growth, as indicated by its market-aligned P/E ratio. However, a P/E drop in line with recent growth rates could disappoint investors. The company's weak earnings and slower growth could risk a share price decline.

China Development Bank Financial Leasing's low P/E ratio is due to its below-average growth rate and market expectations of limited future growth. Investors are paying less for the stock, anticipating the continuation of recent limited growth rates.

Anticipation of future revenue growth may cause investors to overlook lower earnings. China Development Bank Financial Leasing's TSR of 48% last year indicates strong recent performance, over and above its share price return due to dividends.