If You Had Bought DigitalBridge Group (NYSE:DBRG) Stock A Year Ago, You Could Pocket A 224% Gain Today
The most you can lose on any stock (assuming you don't use leverage) is 100% of your money. But if you pick the right business to buy shares in, you can make more than you can lose. For example, the DigitalBridge Group, Inc. (NYSE:DBRG) share price had more than doubled in just one year - up 224%. We note the stock price is up 1.4% in the last seven days. However, the longer term returns haven't been so impressive, with the stock up just 17% in the last three years.
See our latest analysis for DigitalBridge Group
DigitalBridge Group isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. Shareholders of unprofitable companies usually expect strong revenue growth. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.
In the last year DigitalBridge Group saw its revenue grow by 51%. That's well above most other pre-profit companies. Meanwhile, the market has paid attention, sending the share price soaring 224% in response. It's great to see strong revenue growth, but the question is whether it can be sustained. Given the positive sentiment around the stock we're cautious, but there's no doubt its worth watching.
You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).
We like that insiders have been buying shares in the last twelve months. Even so, future earnings will be far more important to whether current shareholders make money. If you are thinking of buying or selling DigitalBridge Group stock, you should check out this free report showing analyst profit forecasts.
A Different Perspective
Pleasingly, DigitalBridge Group's total shareholder return last year was 224%. That gain actually surpasses the 12% TSR it generated (per year) over three years. Given the track record of solid returns over varying time frames, it might be worth putting DigitalBridge Group on your watchlist. It's always interesting to track share price performance over the longer term. But to understand DigitalBridge Group better, we need to consider many other factors. For instance, we've identified 1 warning sign for DigitalBridge Group that you should be aware of.
DigitalBridge Group is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
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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