Sf Diamond Co., Ltd.に関するコメント

SF DiamondLtd's statutory profits, boosted by unusual items, may mislead investors about its sustainable earnings power.

Despite poor financial performance, the company's P/E ratio mirrors the market, indicating less bearish investor sentiment. However, this could lead to future disappointment if the P/E aligns with recent growth rates. The company's lower three-year growth compared to market forecasts makes the current P/E uncomfortable, as it's unlikely to sustain positive sentiment.

SF DiamondLtd's decreasing ROCE trend over the past five years doesn't inspire confidence, despite reinvestment for growth and lack of significant sales increase. The stock's 73% gain over the last five years indicates investor optimism. The company's reduction in current liabilities could be linked to the decrease in ROCE, potentially making the business less efficient at generating ROCE.

Investors' belief that the company will underperform the broader market has led to a low P/E ratio. Limited growth rates are expected to persist, with investors willing to pay less for the stock. Unless medium-term conditions improve, they will continue to limit the share price.