Tongling Jingda Special Magnet Wire's shares may be rising, but its P/E ratio remains low due to investors' expectations of limited growth and reluctance to pay a premium. The company's poor earnings outlook is contributing to this low ratio.

Despite Tongling Jingda’s reinvestment, the declining ROCE and rising capital used give a concerning picture. Investors' high hopes need confirmation of an improving trend, despite the 47% five-year return.