Shaanxi Aerospace Power Hi-Tech (SHSE:600343 investor three-year losses grow to 15% as the stock sheds CN¥408m this past week

While it may not be enough for some shareholders, we think it is good to see the Shaanxi Aerospace Power Hi-Tech Co., Ltd. (SHSE:600343) share price up 20% in a single quarter. That doesn't really compensate for the lacklustre three-year returns. Specifically, the stock price is down 15% whereas the market is down , having returned (-14%).

Given the past week has been tough on shareholders, let's investigate the fundamentals and see what we can learn.

Check out our latest analysis for Shaanxi Aerospace Power Hi-Tech

Because Shaanxi Aerospace Power Hi-Tech 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. When a company doesn't make profits, we'd generally hope to see good 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.

Over the last three years, Shaanxi Aerospace Power Hi-Tech's revenue dropped 13% per year. That is not a good result. The stock has disappointed holders over the last three years, falling 5%, annualized. And with no profits, and weak revenue, are you surprised? Of course, sentiment could become too negative, and the company may actually be making progress to profitability.

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

Take a more thorough look at Shaanxi Aerospace Power Hi-Tech's financial health with this free report on its balance sheet.

A Different Perspective

Shaanxi Aerospace Power Hi-Tech provided a TSR of 7.3% over the last twelve months. But that return falls short of the market. On the bright side, that's still a gain, and it's actually better than the average return of 3% over half a decade This suggests the company might be improving over time. 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 Shaanxi Aerospace Power Hi-Tech that you should be aware of.

We will like Shaanxi Aerospace Power Hi-Tech better if we see some big insider buys. While we wait, check out this free list of undervalued stocks (mostly small caps) 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 Chinese 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.