Immunocore Holdings (NASDAQ:IMCR) rises 8.5% this week, taking one-year gains to 204%
Unless you borrow money to invest, the potential losses are limited. But if you pick the right stock, you can make a lot more than 100%. For example, the Immunocore Holdings plc (NASDAQ:IMCR) share price has soared 204% in the last 1 year. Most would be very happy with that, especially in just one year! Also pleasing for shareholders was the 27% gain in the last three months. Immunocore Holdings hasn't been listed for long, so it's still not clear if it is a long term winner.
Since it's been a strong week for Immunocore Holdings shareholders, let's have a look at trend of the longer term fundamentals.
View our latest analysis for Immunocore Holdings
Immunocore Holdings wasn't profitable in the last twelve months, it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). Arguably revenue is our next best option. When a company doesn't make profits, we'd generally expect to see good revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.
In the last year Immunocore Holdings saw its revenue grow by 274%. That's well above most other pre-profit companies. And the share price has responded, gaining 204% as we previously mentioned. It's great to see strong revenue growth, but the question is whether it can be sustained. The strong share price rise indicates optimism, so there may be a better opportunity for buyers as the hype fades a bit.
The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).
We're pleased to report that the CEO is remunerated more modestly than most CEOs at similarly capitalized companies. It's always worth keeping an eye on CEO pay, but a more important question is whether the company will grow earnings throughout the years. So it makes a lot of sense to check out what analysts think Immunocore Holdings will earn in the future (free profit forecasts).
A Different Perspective
Immunocore Holdings boasts a total shareholder return of 204% for the last year. That's better than the more recent three month gain of 27%, implying that share price has plateaued recently. Having said that, we doubt shareholders would be concerned. It seems the market is simply waiting on more information, because if the business delivers so will the share price (eventually). It's always interesting to track share price performance over the longer term. But to understand Immunocore Holdings better, we need to consider many other factors. Take risks, for example - Immunocore Holdings has 1 warning sign we think you should be aware of.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of companies we expect will 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.
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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.
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