Despite an already strong run, Enviro Energy International Holdings Limited (HKG:1102) shares have been powering on, with a gain of 30% in the last thirty days. Looking back a bit further, it's encouraging to see the stock is up 62% in the last year.
Even after such a large jump in price, you could still be forgiven for feeling indifferent about Enviro Energy International Holdings' P/S ratio of 0.1x, since the median price-to-sales (or "P/S") ratio for the Trade Distributors industry in Hong Kong is also close to 0.6x. Although, it's not wise to simply ignore the P/S without explanation as investors may be disregarding a distinct opportunity or a costly mistake.
How Enviro Energy International Holdings Has Been Performing
Recent times have been quite advantageous for Enviro Energy International Holdings as its revenue has been rising very briskly. It might be that many expect the strong revenue performance to wane, which has kept the share price, and thus the P/S ratio, from rising. If that doesn't eventuate, then existing shareholders have reason to be feeling optimistic about the future direction of the share price.
Although there are no analyst estimates available for Enviro Energy International Holdings, take a look at this free data-rich visualisation to see how the company stacks up on earnings, revenue and cash flow.
Do Revenue Forecasts Match The P/S Ratio?
In order to justify its P/S ratio, Enviro Energy International Holdings would need to produce growth that's similar to the industry.
Taking a look back first, we see that the company grew revenue by an impressive 97% last year. Spectacularly, three year revenue growth has ballooned by several orders of magnitude, thanks in part to the last 12 months of revenue growth. Therefore, it's fair to say the revenue growth recently has been superb for the company.
When compared to the industry's one-year growth forecast of 23%, the most recent medium-term revenue trajectory is noticeably more alluring
With this information, we find it interesting that Enviro Energy International Holdings is trading at a fairly similar P/S compared to the industry. It may be that most investors are not convinced the company can maintain its recent growth rates.
What Does Enviro Energy International Holdings' P/S Mean For Investors?
Enviro Energy International Holdings' stock has a lot of momentum behind it lately, which has brought its P/S level with the rest of the industry. We'd say the price-to-sales ratio's power isn't primarily as a valuation instrument but rather to gauge current investor sentiment and future expectations.
We didn't quite envision Enviro Energy International Holdings' P/S sitting in line with the wider industry, considering the revenue growth over the last three-year is higher than the current industry outlook. There could be some unobserved threats to revenue preventing the P/S ratio from matching this positive performance. At least the risk of a price drop looks to be subdued if recent medium-term revenue trends continue, but investors seem to think future revenue could see some volatility.
It's always necessary to consider the ever-present spectre of investment risk. We've identified 4 warning signs with Enviro Energy International Holdings, and understanding these should be part of your investment process.
Of course, profitable companies with a history of great earnings growth are generally safer bets. So you may wish to see this free collection of other companies that have reasonable P/E ratios and have grown earnings strongly.
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即使在价格大幅上涨之后,你对Enviro Energy International Holdings的0.1倍市盈率漠不关心还是可以原谅的,因为香港贸易分销商行业的中位数市销率(或 “市盈率”)也接近0.6倍。但是,不加解释地忽略市销率是不明智的,因为投资者可能会忽视一个明显的机会或一个代价高昂的错误。
Enviro Energy 国际控股公司的表现如何
最近对Enviro Energy International Holdings来说非常有利,因为其收入一直在快速增长。许多人可能预计强劲的收入表现将减弱,这阻碍了股价乃至市销售率的上升。如果最终没有发生这种情况,那么现有股东就有理由对股价的未来走向感到乐观。
尽管没有分析师对Enviro Energy International Holdings的估计,但看看这个免费的数据丰富的可视化图表,看看该公司如何积累收益、收入和现金流。
收入预测与市销率相匹配吗?
为了证明其市销率是合理的,Enviro Energy International Holdings需要实现与该行业相似的增长。
有了这些信息,我们发现有趣的是,与该行业相比,Enviro Energy International Holdings的市销率相当相似。可能是大多数投资者不相信该公司能够维持其最近的增长率。
Enviro Energy International Holdings的市销率对投资者意味着什么?
Enviro Energy International Holdings的股票最近势头强劲,这使其市销率与业内其他公司相比有所上升。我们可以说,市销比率的力量主要不是作为一种估值工具,而是用来衡量当前的投资者情绪和未来预期。
考虑到过去三年的收入增长高于当前的行业前景,我们并不完全设想Enviro Energy International Holdings的市销率会与整个行业保持一致。可能存在一些未观察到的收入威胁,使市销售率无法与这种积极表现相提并论。如果最近的中期收入趋势持续下去,至少价格下跌的风险似乎有所减弱,但投资者似乎认为未来的收入可能会出现一些波动。
始终有必要考虑永远存在的投资风险幽灵。我们已经向Enviro Energy International Holdings确定了4个警告信号,我们知道这些信号应该是您投资过程的一部分。