FIT HON TENG's stock plummeted 5.18% during intraday trading on Tuesday, extending a period of sustained weakness for the company's shares.

The selling pressure continues despite the company reporting solid first-quarter earnings, with revenue growing 8.61% year-over-year to US$1.198 billion and net profit from continuing operations surging 67.32% to US$10.446 million. The primary concern among investors appears to be the stock's elevated valuation, with its price-to-earnings ratio standing at 62.67x, significantly above the industry average.

Analysts note that without a meaningful breakthrough in net profit margin, the current premium valuation lacks sufficient margin of safety. Market participants remain divided over whether the pace of earnings delivery can justify the current price level, leading to continued selling pressure that has yet to be fully absorbed since the earnings release.