Despite Kunshan Kersen Science & Technology Co.,Ltd.'s share price surge, its P/S ratio remains low due to poor financials and declining revenue. If medium-term revenue trends persist, the share price is unlikely to see significant movement.
The company's low P/S ratio is due to declining revenue and the industry's projected 61% growth. Investors feel the potential for revenue growth doesn't justify a higher P/S ratio. If medium-term revenue trends persist, the share price may remain stable.
The company's balance sheet is strained due to high debt and a CN¥126m EBIT loss. The drop in revenue and negative EBIT raises concerns about its ability to service debt.
Kunshan Kersen Science & Technology's low P/S ratio, coupled with poor revenue performance and weak growth forecasts, indicate potential risk. The firm is expected to underperform the broader industry, casting shadows on the stock value.
Kunshan Kersen Science & Technology Stock Forum
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