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The one-year shareholder returns and company earnings persist lower as CURO Group Holdings (NYSE:CURO) stock falls a further 14% in past week

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Even the best stock pickers will make plenty of bad investments. And unfortunately for CURO Group Holdings Corp. (NYSE:CURO) shareholders, the stock is a lot lower today than it was a year ago. The share price is down a hefty 60% in that time. Longer term shareholders haven't suffered as badly, since the stock is down a comparatively less painful 28% in three years. Furthermore, it's down 40% in about a quarter. That's not much fun for holders.

After losing 14% this past week, it's worth investigating the company's fundamentals to see what we can infer from past performance.

See our latest analysis for CURO Group Holdings

While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price.

Unhappily, CURO Group Holdings had to report a 45% decline in EPS over the last year. This reduction in EPS is not as bad as the 60% share price fall. This suggests the EPS fall has made some shareholders are more nervous about the business. The P/E ratio of 8.08 also points to the negative market sentiment.

You can see how EPS has changed over time in the image below (click on the chart to see the exact values).

earnings-per-share-growth
earnings-per-share-growth

Dive deeper into CURO Group Holdings' key metrics by checking this interactive graph of CURO Group Holdings's earnings, revenue and cash flow.

A Different Perspective

CURO Group Holdings shareholders are down 59% for the year (even including dividends), falling short of the market return. The market shed around 16%, no doubt weighing on the stock price. Shareholders have lost 7% per year over the last three years, so the share price drop has become steeper, over the last year; a potential symptom of as yet unsolved challenges. We would be wary of buying into a company with unsolved problems, although some investors will buy into struggling stocks if they believe the price is sufficiently attractive. It's always interesting to track share price performance over the longer term. But to understand CURO Group Holdings better, we need to consider many other factors. Like risks, for instance. Every company has them, and we've spotted 5 warning signs for CURO Group Holdings (of which 1 can't be ignored!) 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.

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

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.