Stock Analysis

If You Had Bought AnalytixInsight (CVE:ALY) Stock Five Years Ago, You Could Pocket A 519% Gain Today

TSXV:ALY
Source: Shutterstock

We think all investors should try to buy and hold high quality multi-year winners. And we've seen some truly amazing gains over the years. Don't believe it? Then look at the AnalytixInsight Inc. (CVE:ALY) share price. It's 519% higher than it was five years ago. And this is just one example of the epic gains achieved by some long term investors. Also pleasing for shareholders was the 36% gain in the last three months.

Anyone who held for that rewarding ride would probably be keen to talk about it.

View our latest analysis for AnalytixInsight

Because AnalytixInsight made a loss in the last twelve months, we think the market is probably more focussed on revenue and revenue growth, at least for now. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.

In the last 5 years AnalytixInsight saw its revenue grow at 28% per year. That's well above most pre-profit companies. Arguably, this is well and truly reflected in the strong share price gain of 44%(per year) over the same period. It's never too late to start following a top notch stock like AnalytixInsight, since some long term winners 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.

The company's revenue and earnings (over time) are depicted in the image below (click to see the exact numbers).

earnings-and-revenue-growth
TSXV:ALY Earnings and Revenue Growth March 21st 2021

This free interactive report on AnalytixInsight's balance sheet strength is a great place to start, if you want to investigate the stock further.

A Different Perspective

It's nice to see that AnalytixInsight shareholders have received a total shareholder return of 321% over the last year. Since the one-year TSR is better than the five-year TSR (the latter coming in at 44% per year), it would seem that the stock's performance has improved in recent times. Someone with an optimistic perspective could view the recent improvement in TSR as indicating that the business itself is getting better with time. 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. Even so, be aware that AnalytixInsight is showing 4 warning signs in our investment analysis , you should know about...

We will like AnalytixInsight 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 CA exchanges.

When trading AnalytixInsight or any other investment, use the platform considered by many to be the Professional's Gateway to the Worlds Market, Interactive Brokers. You get the lowest-cost* trading on stocks, options, futures, forex, bonds and funds worldwide from a single integrated account. Promoted


New: Manage All Your Stock Portfolios in One Place

We've created the ultimate portfolio companion for stock investors, and it's free.

• Connect an unlimited number of Portfolios and see your total in one currency
• Be alerted to new Warning Signs or Risks via email or mobile
• Track the Fair Value of your stocks

Try a Demo Portfolio for Free

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.
*Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020


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