Schneider Electric Infrastructure (NSE:SCHNEIDER) Share Prices Have Dropped 50% In The Last Five Years

We think intelligent long term investing is the way to go. But unfortunately, some companies simply don't succeed. For example, after five long years the Schneider Electric Infrastructure Limited (NSE:SCHNEIDER) share price is a whole 50% lower. That's an unpleasant experience for long term holders. In contrast, the stock price has popped 9.0% in the last thirty days. However, this may be a matter of broader market optimism, since stocks are up 3.8% in the same time.

See our latest analysis for Schneider Electric Infrastructure

Schneider Electric Infrastructure 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. 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.

In the last five years Schneider Electric Infrastructure saw its revenue shrink by 0.003% per year. That's not what investors generally want to see. The share price decline of 8.5% compound, over five years, is understandable given the company is losing money, and revenue is moving in the wrong direction. The chance of imminent investor enthusiasm for this stock seems slimmer than Louise Brooks. Not that many investors like to invest in companies that are losing money and not growing revenue.

You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).

You can see how its balance sheet has strengthened (or weakened) over time in this free interactive graphic.

A Different Perspective

Schneider Electric Infrastructure shareholders are up 4.5% for the year. Unfortunately this falls short of the market return. On the bright side, that's still a gain, and it is certainly better than the yearly loss of about 8.5% endured over half a decade. It could well be that the business is stabilizing. It's always interesting to track share price performance over the longer term. But to understand Schneider Electric Infrastructure better, we need to consider many other factors. To that end, you should be aware of the 1 warning sign we've spotted with Schneider Electric Infrastructure .

We will like Schneider Electric Infrastructure better if we see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

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

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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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