Despite strong revenue growth, the company's high P/S ratio may not be justified without outperforming the industry soon. The recent medium-term revenue decline is concerning, especially compared to the industry's predicted 26% growth. The high P/S ratio, despite declining revenues, suggests investors are overly bullish and prices may not be sustainable.
High P/S ratio of Shenzhen Original Advanced Compounds might be driven by expectations of outperforming industry growth. Yet, recent revenue trends show a decline, which could disappoint shareholders if P/S levels align with this negative growth.
Shenzhen Original Advanced Compounds Stock Forum
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