The FACC (VIE:FACC) Share Price Has Gained 65% And Shareholders Are Hoping For More

By
Simply Wall St
Published
July 24, 2021
WBAG:FACC
Source: Shutterstock

FACC AG (VIE:FACC) shareholders have seen the share price descend 12% over the month. On the bright side the share price is up over the last half decade. In that time, it is up 65%, which isn't bad, but is below the market return of 93%. Unfortunately not all shareholders will have held it for five years, so spare a thought for those caught in the 56% decline over the last three years: that's a long time to wait for profits.

View our latest analysis for FACC

FACC 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. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.

Over the last half decade FACC's revenue has actually been trending down at about 2.1% per year. The falling revenue is arguably somewhat reflected in the lacklustre return of 10% per year over that time. Arguably that's not bad given the soft revenue and loss-making position. We'd keep an eye on changes in the trend - there may be an opportunity if the company returns to growth.

You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).

earnings-and-revenue-growth
WBAG:FACC Earnings and Revenue Growth July 24th 2021

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

What about the Total Shareholder Return (TSR)?

We'd be remiss not to mention the difference between FACC's total shareholder return (TSR) and its share price return. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. Its history of dividend payouts mean that FACC's TSR of 68% over the last 5 years is better than the share price return.

A Different Perspective

FACC shareholders gained a total return of 44% during the year. But that was short of the market average. On the bright side, that's still a gain, and it's actually better than the average return of 11% over half a decade It is possible that returns will improve along with the business fundamentals. Shareholders might want to examine this detailed historical graph of past earnings, revenue and cash flow.

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

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

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