CHINA RISUN GP Stock Forum

The tax benefit may make China Risun Group's statutory profits appear better than its underlying earnings power. The non-recurring nature of this benefit and the decrease in earnings per share could be concerning for investors.

Despite a recent earnings dip, investors anticipate robust future growth from China Risun Group, reflected in its high P/E ratio. Shareholders seem confident in future earnings, with a low likelihood of a significant share price drop.

The trend of China Risun Group's ROCE is not positive, decreasing over the last five years. The company's reinvestment in business hasn't yet improved returns. The chances of the stock being a 'multi-bagger' are considered low, if current trends continue.

China Risun Group's lower return on equity and high debt level decreases their appeal as it increases company risk. Firms with high ROE and low debt are usually preferred investment options.