High P/S ratio may be due to market expectations of future revenue performance. However, inconsistent revenue growth and lower momentum could set up shareholders for disappointment if it falls to levels in line with recent growth rates.

Sino Medical Sciences Technology Inc.'s high P/S ratio is alarming considering its medium-term revenue decline and projected industry growth. If these trends persist, the share price may drop, adjusting the P/S ratio to a more reasonable level, posing a substantial risk to shareholders and potential investors.