U.S. markets close in 1 hour 36 minutes
  • S&P 500

    3,802.20
    +33.95 (+0.90%)
     
  • Dow 30

    30,968.09
    +153.83 (+0.50%)
     
  • Nasdaq

    13,192.89
    +194.39 (+1.50%)
     
  • Russell 2000

    2,148.39
    +25.19 (+1.19%)
     
  • Crude Oil

    52.98
    +0.62 (+1.18%)
     
  • Gold

    1,839.50
    +9.60 (+0.52%)
     
  • Silver

    25.23
    +0.36 (+1.46%)
     
  • EUR/USD

    1.2127
    +0.0044 (+0.36%)
     
  • 10-Yr Bond

    1.0920
    -0.0050 (-0.46%)
     
  • GBP/USD

    1.3627
    +0.0041 (+0.30%)
     
  • USD/JPY

    103.8700
    +0.1830 (+0.18%)
     
  • BTC-USD

    36,672.98
    +231.25 (+0.63%)
     
  • CMC Crypto 200

    723.65
    +8.46 (+1.18%)
     
  • FTSE 100

    6,712.95
    -7.70 (-0.11%)
     
  • Nikkei 225

    28,633.46
    +391.25 (+1.39%)
     

Grindrod Shipping Holdings' (NASDAQ:GRIN) Shareholders Are Down 42% On Their Shares

Simply Wall St
·3 min read

While it may not be enough for some shareholders, we think it is good to see the Grindrod Shipping Holdings Ltd. (NASDAQ:GRIN) share price up 13% in a single quarter. But that doesn't change the reality of under-performance over the last twelve months. The cold reality is that the stock has dropped 42% in one year, under-performing the market.

See our latest analysis for Grindrod Shipping Holdings

Because Grindrod Shipping Holdings 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. Shareholders of unprofitable companies usually expect strong revenue growth. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.

Grindrod Shipping Holdings' revenue didn't grow at all in the last year. In fact, it fell 1.3%. That looks pretty grim, at a glance. The stock price has languished lately, falling 42% in a year. What would you expect when revenue is falling, and it doesn't make a profit? We think most holders must believe revenue growth will improve, or else costs will decline.

The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).

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

If you are thinking of buying or selling Grindrod Shipping Holdings stock, you should check out this FREE detailed report on its balance sheet.

A Different Perspective

While Grindrod Shipping Holdings shareholders are down 42% for the year, the market itself is up 22%. While the aim is to do better than that, it's worth recalling that even great long-term investments sometimes underperform for a year or more. Putting aside the last twelve months, it's good to see the share price has rebounded by 13%, in the last ninety days. Let's just hope this isn't the widely-feared 'dead cat bounce' (which would indicate further declines to come). It's always interesting to track share price performance over the longer term. But to understand Grindrod Shipping Holdings better, we need to consider many other factors. For instance, we've identified 1 warning sign for Grindrod Shipping Holdings that you should be aware of.

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. 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@simplywallst.com.