What is the point in paying more than 50x EPS for a Chinese company with inconsistent execution? Consider buying ACTS - trading at 6x EPS with almost all of market cap in cash and good profitability.
Exactly, who, in their right mind, will buy this overpriced stock?
I don't think EDU has the growth potential with 50 times. As a Chinese, I think even with EDU has some market potential, but it will cost them a lot of money to get the share and the profit margin won't be ideal at all.