There’s Reason For Concern Over Tian Yuan Group Holdings Limited’s (HKG:6119) Massive 26% Price Jump
Despite an already strong run, Tian Yuan Group Holdings Limited (HKG:6119) shares have been powering on, with a gain of 26% in the last thirty days. Looking back a bit further, it’s encouraging to see the stock is up 28% in the last year.
Following the firm bounce in price, Tian Yuan Group Holdings may be sending very bearish signals at the moment with a price-to-earnings (or “P/E”) ratio of 24.2x, since almost half of all companies in Hong Kong have P/E ratios under 12x and even P/E’s lower than 7x are not unusual. Although, it’s not wise to just take the P/E at face value as there may be an explanation why it’s so lofty.
