Shanghai Feilo Acoustics Co.,Ltd's high P/S ratio may not be justified due to declining revenue. Investors may be overvaluing the stock, risking disappointment if the P/S ratio aligns with recent negative growth rates. Unless conditions improve, the share price may seem unfair.

The fact that Shanghai Feilo AcousticsLtd has more cash than debt could indicate that it can manage its debt safely. However, the decline in revenue and loss before interest and tax raises concerns about its future performance.

Company's shrinking revenue is worrying for investors, who seek evidence of imminent profits. Stock's poor performance, with 1.5% loss over one year and 0.1% annual loss over five years, deepens concerns about business performance.