What Datronix Holdings Limited’s (HKG:889) 25% Share Price Gain Is Not Telling You
Despite an already strong run, Datronix Holdings Limited (HKG:889) shares have been powering on, with a gain of 25% in the last thirty days. Looking back a bit further, it’s encouraging to see the stock is up 46% in the last year.
In spite of the firm bounce in price, there still wouldn’t be many who think Datronix Holdings’ price-to-sales (or “P/S”) ratio of 0.7x is worth a mention when the median P/S in Hong Kong’s Electronic industry is similar at about 0.5x. However, investors might be overlooking a clear opportunity or potential setback if there is no rational basis for the P/S.
