China Tourism And Culture Investment GroupLtd (SHSE:600358) adds CN¥232m to market cap in the past 7 days, though investors from a year ago are still down 23%

It is a pleasure to report that the China Tourism And Culture Investment Group Co.,Ltd (SHSE:600358) is up 48% in the last quarter. But that doesn't change the reality of under-performance over the last twelve months. In fact the stock is down 23% in the last year, well below the market return.

On a more encouraging note the company has added CN¥232m to its market cap in just the last 7 days, so let's see if we can determine what's driven the one-year loss for shareholders.

See our latest analysis for China Tourism And Culture Investment GroupLtd

Because China Tourism And Culture Investment GroupLtd 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. Shareholders of unprofitable companies usually desire strong revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one would hope for good top-line growth to make up for the lack of earnings.

In just one year China Tourism And Culture Investment GroupLtd saw its revenue fall by 20%. That looks pretty grim, at a glance. The stock price has languished lately, falling 23% in a year. That seems pretty reasonable given the lack of both profits and revenue growth. We think most holders must believe revenue growth will improve, or else costs will decline.

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

Balance sheet strength is crucial. It might be well worthwhile taking a look at our free report on how its financial position has changed over time.

A Different Perspective

Investors in China Tourism And Culture Investment GroupLtd had a tough year, with a total loss of 23%, against a market gain of about 14%. However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. Longer term investors wouldn't be so upset, since they would have made 1.6%, each year, over five years. It could be that the recent sell-off is an opportunity, so it may be worth checking the fundamental data for signs of a long term growth trend. You might want to assess this data-rich visualization of its earnings, revenue and cash flow.

Of course China Tourism And Culture Investment GroupLtd may not be the best stock to buy. So you may wish to see this free collection of growth stocks.

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.