TSE:9267Consumer Retailing
Genky DrugStores (TSE:9267) Stock Rallies As Thin Margins Meet Premium P E
Genky DrugStores stock has been on a tear, with double digit gains over the past month, yet today’s close near ¥4,170 suggests investors are still willing to pay up for the story. The hook in this earnings print is not a one off EPS surprise. It is the tension between solid profit generation and a valuation that already bakes in a lot of optimism.
Net profit margin sits at 3.6% and the trailing P/E around 16.2x remains richer than many consumer retail peers. The market is treating Genky...