Great Wall Motor Company Limited (GWMOTOR) saw its stock surge 6.09% on Thursday, as the automaker's shares continued to ride the wave of investor enthusiasm and momentum. The rally has pushed GWMOTOR's stock up an impressive 26% over the past month and 46% in the last year.

While the recent share price gains have been significant, some analysts are raising concerns about the sustainability of the rally. According to forecasts, GWMOTOR's earnings per share (EPS) are expected to decline by 1.2% annually over the next three years, contrasting with the broader market's projected growth of 12% per year.

Despite GWMOTOR's current price-to-earnings (P/E) ratio of 8.1x being considered "middle-of-the-road" compared to the industry median in Hong Kong, analysts question whether the valuation is justified given the forecast of declining earnings. They argue that the recent rally may have pushed the stock price ahead of its underlying fundamentals, potentially setting the stage for a correction.