Shandong Kaisheng Faces Valuation Challenges Amid Declining Profits and Sales

Shandong Kaisheng New Materials Co., Ltd., a midcap player in the specialty chemicals industry, has recently undergone an adjustment in its evaluation. The company's valuation metrics indicate a very expensive standing, with a P/E ratio of 97 and a Price to Book Value of 5.01. Additionally, the EV to EBIT and EV to EBITDA ratios are notably high at 109.28 and 40.34, respectively. Despite a return of 63.78% over the past year, the company has faced challenges, as evidenced by a decline in profits of 22.4%. The latest financial indicators show a ROCE of 5.59% and an ROE of 5.17%, which reflect the company's current performance landscape. Furthermore, Shandong Kaisheng has reported negative results for the last seven consecutive quarters, with net sales experiencing an annual decline of 1.36% and operating profit decreasing by 30.72% over the past five years. These underlying trends contribute to the recent revision in its score, highlighting the complexities within the company's financial framework. Discover the Latest Mojo Score and Financial Trend Performance - SignUp in less than 2 Minutes and get FREE Premium Access.