The Grande West Transportation Group (CVE:BUS) Share Price Is Up 818% And Shareholders Are Delighted
For many, the main point of investing in the stock market is to achieve spectacular returns. And we've seen some truly amazing gains over the years. To wit, the Grande West Transportation Group Inc (CVE:BUS) share price has soared 818% over five years. If that doesn't get you thinking about long term investing, we don't know what will. Also pleasing for shareholders was the 228% gain in the last three months.
Anyone who held for that rewarding ride would probably be keen to talk about it.
Check out our latest analysis for Grande West Transportation Group
Grande West Transportation Group isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. 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.
For the last half decade, Grande West Transportation Group can boast revenue growth at a rate of 18% per year. Even measured against other revenue-focussed companies, that's a good result. Arguably, this is well and truly reflected in the strong share price gain of 56%(per year) over the same period. Despite the strong run, top performers like Grande West Transportation Group have been known to go on winning for decades. So we'd recommend you take a closer look at this one, but keep in mind the market seems optimistic.
You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).
It's probably worth noting we've seen significant insider buying in the last quarter, which we consider a positive. That said, we think earnings and revenue growth trends are even more important factors to consider. Dive deeper into the earnings by checking this interactive graph of Grande West Transportation Group's earnings, revenue and cash flow.
A Different Perspective
It's good to see that Grande West Transportation Group has rewarded shareholders with a total shareholder return of 725% in the last twelve months. Since the one-year TSR is better than the five-year TSR (the latter coming in at 56% per year), it would seem that the stock's performance has improved in recent times. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. For instance, we've identified 2 warning signs for Grande West Transportation Group that you should be aware of.
Grande West Transportation Group is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on CA 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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About TSXV:VMC
Vicinity Motor
Designs, builds, and distributes a suite of transit buses for public and commercial use under the Vicinity brand in the United States and Canada.
Slight and slightly overvalued.