What Jayaswal Neco Industries Limited’s (NSE:JAYNECOIND) 42% Share Price Gain Is Not Telling You
Jayaswal Neco Industries Limited (NSE:JAYNECOIND) shares have had a really impressive month, gaining 42% after a shaky period beforehand. Not all shareholders will be feeling jubilant, since the share price is still down a very disappointing 26% in the last twelve months.
After such a large jump in price, Jayaswal Neco Industries’ price-to-earnings (or “P/E”) ratio of 36.5x might make it look like a sell right now compared to the market in India, where around half of the companies have P/E ratios below 26x and even P/E’s below 15x are quite common. Although, it’s not wise to just take the P/E at face value as there may be an explanation why it’s as high as it is.
We’ve discovered 3 warning signs about Jayaswal Neco…
