The company's prospects looked rosy and you would have called your friendly neighborhood broker and placed a buy order. The first thing is not to get carried away by growth but try and read beyond the obvious. Sales growth was from expansion with massive capital spending. In a good year, you will make profit. But in case of this company, what is most intriguing and disturbing is management's desperate attempt to jack up profits even when operating environment was favorable.
Most conservative companies do the reverse.
Before we go further, a word about tax outgo. One who pays tax, is a good citizen. Barring exception circumstances, in most cases you will find good corporate citizens pay tax. The companies that continuously expand, incur capex to get tax shield call for extra caution. This should raise a flag.