The company's low P/E ratio reflects expected limited growth and market underperformance. The anticipated earnings decline contributes to its low P/E, and the share price may stay at these levels unless conditions improve.

The EPS and share price divergence suggests past growth expectations may have been unreasonable. The recent sell-off could be a long-term investor opportunity, but signs of a long-term growth trend are crucial. Investors should also be aware of a warning sign for Yantai Zhenghai Biotechnology.

Yantai Zhenghai Biotechnology is promising in the long term, with higher return on equity and profit retention. Significant reinvestment of profits leads to substantial growth in earnings, and an acceleration is forecasted soon.