Chengdu Hi-Tech Stock Hits Day Low of CNY 52.40 Amid Price Pressure

Chengdu Hi-Tech Development Co., Ltd. experienced a significant decline today, with the stock dropping by 5.68% to touch an intraday low of CNY 52.40. This performance stands in contrast to the China Shanghai Composite, which fell by only 1.26% on the same day. Over the past week, Chengdu Hi-Tech has shown a positive trend, gaining 10.12%, but its one-year performance remains concerning, with a decline of 10.45%. The company has faced challenges, including a substantial drop in pre-tax profit, which fell by 79.88%, and net profit, which decreased by 91.87%. These figures highlight ongoing profitability issues, as reflected in a return on equity of -0.37%. Despite a strong long-term performance over three and five years, with returns of 265.07% and 486.64% respectively, the recent quarterly results indicate a troubling trajectory. The company's high debt-to-equity ratio and a low return on capital employed further underscore its financial risks. As the furniture and home furnishing industry continues to evolve, Chengdu Hi-Tech's current market position raises questions about its future stability.