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If You Had Bought Kraken Robotics (CVE:PNG) Shares Three Years Ago You'd Have Made 475%

Simply Wall St

Investing can be hard but the potential fo an individual stock to pay off big time inspires us. Not every pick can be a winner, but when you pick the right stock, you can win big. For example, the Kraken Robotics Inc. (CVE:PNG) share price is up a whopping 475% in the last three years, a handsome return for long term holders. It's also up 11% in about a month.

Check out our latest analysis for Kraken Robotics

Given that Kraken Robotics didn't make a profit in the last twelve months, we'll focus on revenue growth to form a quick view of its business development. Shareholders of unprofitable companies usually expect strong revenue growth. That's because it's hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.

Over the last three years Kraken Robotics has grown its revenue at 51% annually. That's well above most pre-profit companies. In light of this attractive revenue growth, it seems somewhat appropriate that the share price has been rocketing, boasting a gain of 79% per year, over the same period. It's always tempting to take profits after a share price gain like that, but high-growth companies like Kraken Robotics can sometimes sustain strong growth for many years. In fact, it might be time to put it on your watchlist, if you're not already familiar with the stock.

The company's revenue and earnings (over time) are depicted in the image below (click to see the exact numbers).

TSXV:PNG Income Statement, October 14th 2019

Take a more thorough look at Kraken Robotics's financial health with this free report on its balance sheet.

A Different Perspective

We're pleased to report that Kraken Robotics rewarded shareholders with a total shareholder return of 55% over the last year. The TSR has been even better over three years, coming in at 79% per year. If you would like to research Kraken Robotics in more detail then you might want to take a look at whether insiders have been buying or selling shares in the company.

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

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

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. 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. Simply Wall St has no position in the stocks mentioned. Thank you for reading.