Gansu Longshenrongfa Pharmaceutical Industry Stock Forum

Despite recent share price drops, Gansu Longshenrongfa Pharmaceutical's P/E is still higher than most firms. If medium-term earnings trends persist, shareholders' investments could be at risk and potential investors may pay an excessive premium.

The company's high P/E ratio relative to its low growth rates could be troubling. Investors seem to be banking on an upturn in business prospects to justify the steep P/E, although continued poor earnings trends could harm the stock price.