The company's low P/E ratio is due to inconsistent earnings growth and weaker momentum compared to the market. The low P/E ratio will continue to act as a barrier for the share price unless medium-term conditions improve. Investors should be aware of one warning sign for the company.

Fujian Mindong Electric Power's recent share price drop may be a temporary hurdle in its path to a brighter future. The company's shift from loss to profit is positive, with potential 16% annual gains for long-term investors over five years.

Investors seem to believe that the company's recent inconsistent growth patterns will continue, justifying the lower-than-average P/E ratio. Unless the company can improve its medium-term earnings outlook, its share price may struggle to move significantly higher from its current levels.