Yahoo Finance Did You Miss Thruvision Group's (LON:THRU) 52% Share Price Gain?
By buying an index fund, you can roughly match the market return with ease. But if you choose individual stocks with prowess, you can make superior returns. Just take a look at Thruvision Group plc (LON:THRU), which is up 52%, over three years, soundly beating the market decline of 19% (not including dividends).
View our latest analysis for Thruvision Group
Thruvision Group wasn't profitable in the last twelve months, it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). Arguably revenue is our next best option. Shareholders of unprofitable companies usually expect strong revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.
Over the last three years Thruvision Group has grown its revenue at 49% annually. That's much better than most loss-making companies. The share price rise of 15% per year throughout that time is nice to see, and given the revenue growth, that gain seems somewhat justified. So now might be the perfect time to put Thruvision Group on your radar. A window of opportunity may reveal itself with time, if the business can trend to profitability.
The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).
This free interactive report on Thruvision Group's balance sheet strength is a great place to start, if you want to investigate the stock further.
A Different Perspective
Although it hurts that Thruvision Group returned a loss of 2.2% in the last twelve months, the broader market was actually worse, returning a loss of 8.8%. Of far more concern is the 8% p.a. loss served to shareholders over the last five years. This sort of share price action isn't particularly encouraging, but at least the losses are slowing. It's always interesting to track share price performance over the longer term. But to understand Thruvision Group better, we need to consider many other factors. Case in point: We've spotted 2 warning signs for Thruvision Group you should be aware of.
Of course Thruvision Group may not be the best stock to buy. So you may wish to see this free collection of growth stocks.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on GB exchanges.
This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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