Foshan Golden Milky Way Intelligent Equipment Stock Forum

Despite a share price drop, Foshan Golden Milky Way's P/E remains high due to strong earnings growth. Investors believe earnings deterioration isn't enough to justify a lower P/E ratio, but 5 warning signs exist.

The high ROE is a good sign, but the company's significant use of debt to boost returns is concerning. Despite the fairly low ROE and significant use of debt, it's hard to get excited about this business at the moment.