HLSE:PIHLISHealthcare
Pihlajalinna (HLSE:PIHLIS) Profit Margin Surges, Challenging Market Doubts on Earnings Quality
Pihlajalinna (HLSE:PIHLIS) reported a net profit margin of 5.9%, up from last year’s 1.4%, with EPS soaring 323.8% year over year. While annualized earnings growth averaged 16.3% over the past five years, the company now faces a forecasted revenue decline of -3.8% per year and just 1% annual earnings growth, trailing the Finnish market’s 17.2%. With its shares trading at €14.9, well below the estimated fair value of €39.51, the market is weighing a mix of sharply improved profitability and...