Recent 13% pullback isn't enough to hurt long-term CyanConnode Holdings (LON:CYAN) shareholders, they're still up 536% over 3 years
The CyanConnode Holdings plc (LON:CYAN) share price has had a bad week, falling 13%. But over three years the performance has been really wonderful. Indeed, the share price is up a whopping 536% in that time. Arguably, the recent fall is to be expected after such a strong rise. Only time will tell if there is still too much optimism currently reflected in the share price. It really delights us to see such great share price performance for investors.
Since the long term performance has been good but there's been a recent pullback of 13%, let's check if the fundamentals match the share price.
View our latest analysis for CyanConnode Holdings
Given that CyanConnode Holdings 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. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. That's because fast revenue growth can be easily extrapolated to forecast profits, often of considerable size.
CyanConnode Holdings' revenue trended up 36% each year over three years. 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 85% 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 CyanConnode Holdings 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.
You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).
Take a more thorough look at CyanConnode Holdings' financial health with this free report on its balance sheet.
A Different Perspective
It's nice to see that CyanConnode Holdings shareholders have received a total shareholder return of 5.6% over the last year. However, the TSR over five years, coming in at 6% per year, is even more impressive. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Consider for instance, the ever-present spectre of investment risk. We've identified 3 warning signs with CyanConnode Holdings , and understanding them should be part of your investment process.
But note: CyanConnode Holdings may not be the best stock to buy. So take a peek at this free list of interesting companies with past earnings growth (and further growth forecast).
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on GB 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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