Investors' high expectations for the company may be misplaced due to its recent revenue decline. If this trend continues, it could risk shareholders' investments and make the current stock value hard to accept.

The company's performance has been disappointing, reflected in the decrease in revenue and share price over the past five years. According to Buffett, 'turnarounds seldom turn', casting doubt on the company's ability to bounce back. Investors are advised to buy high-quality businesses even in a down market.

Investors' high expectations for Datang Telecom Technology, reflected in its high P/S ratio, may lead to disappointment due to the company's recent revenue decline and expected industry growth.

Datang Telecom Technology has a high risk due to its loss-making status, EBIT level loss, and recent cash burn of CN¥123m. Lack of positive free cash flow also contributes to its risk.