Jiangsu Kuangshun Photosensitivity New-Material Stock's high P/S ratio may be due to investors' optimism about a revenue turnaround. The company's promising revenue outlook and low risk of revenue deterioration justify the high P/S ratio.

Despite a stable short-term debt status, the company's lackluster revenue growth and non-positive EBIT could pose potential risk. Future earnings will essentially determine its ability to maintain a healthy balance sheet. Yet, there are two recognized external risk warning signs for the company.