Besunyen Holdings Company Limited's (HKG:926) Shares Climb 39% But Its Business Is Yet to Catch Up

Besunyen Holdings Company Limited (HKG:926) shares have continued their recent momentum with a 39% gain in the last month alone. Notwithstanding the latest gain, the annual share price return of 2.5% isn't as impressive. Although its price has surged higher, it's still not a stretch to say that Besunyen Holdings' price-to-sales (or "P/S") ratio of 0.7x right now seems quite "middle-of-the-road" compared to the Food industry in Hong Kong, seeing as it matches the P/S ratio of the wider industry. Although, it's not wise to simply ignore the P/S without explanation as investors may be disregarding a distinct opportunity or a costly mistake. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. View our latest analysis for Besunyen Holdings SEHK:926 Price to Sales Ratio vs Industry August 6th 2025 How Has Besunyen Holdings Performed Recently? Revenue has risen firmly for Besunyen Holdings recently, which is pleasing to see. It might be that many expect the respectable revenue performance to wane, which has kept the P/S from rising. Those who are bullish on Besunyen Holdings will be hoping that this isn't the case, so that they can pick up the stock at a lower valuation. We don't have analyst forecasts, but you can see how recent trends are setting up the company for the future by checking out our free report on Besunyen Holdings' earnings, revenue and cash flow. Is There Some Revenue Growth Forecasted For Besunyen Holdings? Besunyen Holdings' P/S ratio would be typical for a company that's only expected to deliver moderate growth, and importantly, perform in line with the industry. Retrospectively, the last year delivered a decent 7.6% gain to the company's revenues. Ultimately though, it couldn't turn around the poor performance of the prior period, with revenue shrinking 41% in total over the last three years. Therefore, it's fair to say the revenue growth recently has been undesirable for the company. In contrast to the company, the rest of the industry is expected to grow by 4.5% over the next year, which really puts the company's recent medium-term revenue decline into perspective. With this in mind, we find it worrying that Besunyen Holdings' P/S exceeds that of its industry peers. Apparently many investors in the company are way less bearish than recent times would indicate and aren't willing to let go of their stock right now. Only the boldest would assume these prices are sustainable as a continuation of recent revenue trends is likely to weigh on the share price eventually. The Final Word Its shares have lifted substantially and now Besunyen Holdings' P/S is back within range of the industry median. It's argued the price-to-sales ratio is an inferior measure of value within certain industries, but it can be a powerful business sentiment indicator. Our look at Besunyen Holdings revealed its shrinking revenues over the medium-term haven't impacted the P/S as much as we anticipated, given the industry is set to grow. Even though it matches the industry, we're uncomfortable with the current P/S ratio, as this dismal revenue performance is unlikely to support a more positive sentiment for long. If recent medium-term revenue trends continue, it will place shareholders' investments at risk and potential investors in danger of paying an unnecessary premium. You should always think about risks. Case in point, we've spotted 2 warning signs for Besunyen Holdings you should be aware of. If strong companies turning a profit tickle your fancy, then you'll want to check out this free list of interesting companies that trade on a low P/E (but have proven they can grow earnings).