ADTechnology Co.,Ltd.’s (KOSDAQ:200710) 26% Share Price Surge Not Quite Adding Up
ADTechnology Co.,Ltd. (KOSDAQ:200710) shares have continued their recent momentum with a 26% gain in the last month alone. Not all shareholders will be feeling jubilant, since the share price is still down a very disappointing 21% in the last twelve months.
Following the firm bounce in price, given close to half the companies operating in Korea’s Semiconductor industry have price-to-sales ratios (or “P/S”) below 1.4x, you may consider ADTechnologyLtd as a stock to potentially avoid with its 2.5x P/S ratio. Nonetheless, we’d need to dig a little deeper to determine if there is a rational basis for the elevated P/S.
