OptimizeRx (NASDAQ:OPRX) Shareholders Have Enjoyed A Whopping 463% Share Price Gain

For us, stock picking is in large part the hunt for the truly magnificent stocks. Mistakes are inevitable, but a single top stock pick can cover any losses, and so much more. For example, the OptimizeRx Corporation (NASDAQ:OPRX) share price is up a whopping 463% in the last three years, a handsome return for long term holders. Also pleasing for shareholders was the 47% gain in the last three months.

View our latest analysis for OptimizeRx

OptimizeRx isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.

In the last 3 years OptimizeRx saw its revenue grow at 34% per year. That's well above most pre-profit companies. And it's not just the revenue that is taking off. The share price is up 78% per year in that time. Despite the strong run, top performers like OptimizeRx have been known to go on winning for decades. So we'd recommend you take a closer look at this one, or even put it on your watchlist.

The graphic below depicts how earnings and revenue have changed over time (unveil the exact values by clicking on the image).

earnings-and-revenue-growth

It's good to see that there was some significant insider buying in the last three months. That's a positive. On the other hand, we think the revenue and earnings trends are much more meaningful measures of the business. So it makes a lot of sense to check out what analysts think OptimizeRx will earn in the future (free profit forecasts).

A Different Perspective

We're pleased to report that OptimizeRx shareholders have received a total shareholder return of 63% over one year. That's better than the annualised return of 40% over half a decade, implying that the company is doing better recently. Someone with an optimistic perspective could view the recent improvement in TSR as indicating that the business itself is getting better with time. It's always interesting to track share price performance over the longer term. But to understand OptimizeRx better, we need to consider many other factors. Case in point: We've spotted 3 warning signs for OptimizeRx you should be aware of.

OptimizeRx is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US 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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