Despite Sinocare's positive earnings growth, its forecast growth aligns with the wider market, suggesting a potential share price decline. Given these conditions, the current prices may not be reasonable.
Sinocare's reinvestment of capital at low return rates doesn't inspire confidence. Despite market optimism, if these trends persist, its chances of becoming a multi-bagger are slim.
Despite Sinocare's poor earnings outlook, shareholders maintain optimism, judging by its high P/E ratio. However, the over-inflated P/E may lead to investor disappointment if it comes in line with growth predictions. Current conditions may not support this positivity for long.
Even with losses in the past year, long-term Sinocare shareholders have seen a 21% annual gain over five years. The recent sell-off may present a buying opportunity, given positive long-term growth indicators.
Sinocare Inc. Stock Forum
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