Despite Jinlong Machinery & Electronic Co.,Ltd's stock surge, its P/S ratio remains modest. Investors may doubt continued revenue performance, potentially causing the P/S ratio to not match previous strong performance. Future revenue fluctuations seem likely.
The company's revenue growth is reasonable, but it's questionable if the 5% share price growth truly mirrors the business growth. The main worry is the potential slowdown of revenue growth and its speed. The absence of earnings implies future free cash flow must be forecasted to validate the valuation.
Despite good revenue growth and standard P/S ratio, Jinlong Machinery's stock is lower. Market may be forecasting revenue instability and potential risks, causing share price to decrease.
Jinlong Machinery & Electronic Stock Forum
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