While shareholders of Zhejiang Sunriver Culture TourismLtd (SHSE:600576) are in the red over the last year, underlying earnings have actually grown

Zhejiang Sunriver Culture Tourism Co.,Ltd. (SHSE:600576) shareholders should be happy to see the share price up 17% in the last month. But in truth the last year hasn't been good for the share price. In fact, the price has declined 33% in a year, falling short of the returns you could get by investing in an index fund.

The recent uptick of 10% could be a positive sign of things to come, so let's take a look at historical fundamentals.

Check out our latest analysis for Zhejiang Sunriver Culture TourismLtd

To quote Buffett, 'Ships will sail around the world but the Flat Earth Society will flourish. There will continue to be wide discrepancies between price and value in the marketplace...' By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time.

Even though the Zhejiang Sunriver Culture TourismLtd share price is down over the year, its EPS actually improved. It's quite possible that growth expectations may have been unreasonable in the past.

The divergence between the EPS and the share price is quite notable, during the year. So it's well worth checking out some other metrics, too.

Zhejiang Sunriver Culture TourismLtd's revenue is actually up 29% over the last year. Since the fundamental metrics don't readily explain the share price drop, there might be an opportunity if the market has overreacted.

The graphic below depicts how earnings and revenue have changed over time (unveil the exact values by clicking on the image).

We know that Zhejiang Sunriver Culture TourismLtd has improved its bottom line over the last three years, but what does the future have in store? If you are thinking of buying or selling Zhejiang Sunriver Culture TourismLtd stock, you should check out this FREE detailed report on its balance sheet.

A Different Perspective

We regret to report that Zhejiang Sunriver Culture TourismLtd shareholders are down 33% for the year. Unfortunately, that's worse than the broader market decline of 19%. However, it could simply be that the share price has been impacted by broader market jitters. It might be worth keeping an eye on the fundamentals, in case there's a good opportunity. On the bright side, long term shareholders have made money, with a gain of 4% per year over half a decade. If the fundamental data continues to indicate long term sustainable growth, the current sell-off could be an opportunity worth considering. 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. Take risks, for example - Zhejiang Sunriver Culture TourismLtd has 1 warning sign we think you should be aware of.

But note: Zhejiang Sunriver Culture TourismLtd may not be the best stock to buy. So take a peek at this free list of interesting companies with past earnings growth (and further growth forecast).

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.