Kinergy Share Price Drop Linked to Worrying Financials of Low Returns, Shrinking Earnings, and Cautious Growth Outlook

Kinergy Advancement Berhad's share price has declined recently, prompting an analysis of its financials to understand if they are related to the price drop.

Return on equity (ROE) measures how efficiently a company uses shareholders' capital to generate profits. Kinergy's ROE is low at 5.2%.

Kinergy's earnings have shrunk 19% over 5 years, even faster than its industry's decline of 3.4%.

Despite reinvesting all profits, Kinergy's low ROE means this reinvestment is not benefiting shareholders.

Kinergy's valuation metrics and poor earnings growth suggest proceed with caution regarding investing in the company.