UK markets open in 3 hours 15 minutes
  • NIKKEI 225

    27,769.45
    +302.22 (+1.10%)
     
  • HANG SENG

    24,689.32
    +561.47 (+2.33%)
     
  • CRUDE OIL

    87.09
    +0.13 (+0.15%)
     
  • GOLD FUTURES

    1,840.50
    -2.70 (-0.15%)
     
  • DOW

    35,028.65
    -339.82 (-0.96%)
     
  • BTC-GBP

    30,758.38
    -25.90 (-0.08%)
     
  • CMC Crypto 200

    995.29
    +0.55 (+0.05%)
     
  • ^IXIC

    14,340.25
    -166.64 (-1.15%)
     
  • ^FTAS

    4,273.79
    +10.75 (+0.25%)
     

Those who invested in Intellicheck (NASDAQ:IDN) five years ago are up 433%

  • Oops!
    Something went wrong.
    Please try again later.
·2-min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.

Buying shares in the best businesses can build meaningful wealth for you and your family. And highest quality companies can see their share prices grow by huge amounts. Just think about the savvy investors who held Intellicheck, Inc. (NASDAQ:IDN) shares for the last five years, while they gained 433%. If that doesn't get you thinking about long term investing, we don't know what will.

Now it's worth having a look at the company's fundamentals too, because that will help us determine if the long term shareholder return has matched the performance of the underlying business.

View our latest analysis for Intellicheck

Because Intellicheck made a loss in the last twelve months, we think the market is probably more focussed on revenue and revenue growth, at least for now. When a company doesn't make profits, we'd generally expect to see good revenue growth. That's because fast revenue growth can be easily extrapolated to forecast profits, often of considerable size.

For the last half decade, Intellicheck can boast revenue growth at a rate of 27% per year. Even measured against other revenue-focussed companies, that's a good result. Fortunately, the market has not missed this, and has pushed the share price up by 40% per year in that time. It's never too late to start following a top notch stock like Intellicheck, since some long term winners go on winning for decades. So we'd recommend you take a closer look at this one, but keep in mind the market seems optimistic.

You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).

earnings-and-revenue-growth
earnings-and-revenue-growth

We're pleased to report that the CEO is remunerated more modestly than most CEOs at similarly capitalized companies. But while CEO remuneration is always worth checking, the really important question is whether the company can grow earnings going forward. So we recommend checking out this free report showing consensus forecasts

A Different Perspective

Intellicheck shareholders are up 8.2% for the year. But that was short of the market average. If we look back over five years, the returns are even better, coming in at 40% per year for five years. It may well be that this is a business worth popping on the watching, given the continuing positive reception, over time, from the market. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Even so, be aware that Intellicheck is showing 2 warning signs in our investment analysis , you should know about...

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings.

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. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting