Nanjing Sciyon Wisdom Technology Group's (SZSE:002380) 9.7% CAGR outpaced the company's earnings growth over the same five-year period
Stock pickers are generally looking for stocks that will outperform the broader market. And in our experience, buying the right stocks can give your wealth a significant boost. To wit, the Nanjing Sciyon Wisdom Technology Group share price has climbed 52% in five years, easily topping the market return of 18% (ignoring dividends). However, more recent returns haven't been as impressive as that, with the stock returning just 15% in the last year.
After a strong gain in the past week, it's worth seeing if longer term returns have been driven by improving fundamentals.
Check out our latest analysis for Nanjing Sciyon Wisdom Technology Group
There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS).
During the last half decade, Nanjing Sciyon Wisdom Technology Group became profitable. That would generally be considered a positive, so we'd hope to see the share price to rise.
The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers).
We know that Nanjing Sciyon Wisdom Technology Group 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 Nanjing Sciyon Wisdom Technology Group stock, you should check out this FREE detailed report on its balance sheet.
What About The Total Shareholder Return (TSR)?
We'd be remiss not to mention the difference between Nanjing Sciyon Wisdom Technology Group's total shareholder return (TSR) and its share price return. The TSR attempts to capture the value of dividends (as if they were reinvested) as well as any spin-offs or discounted capital raisings offered to shareholders. Its history of dividend payouts mean that Nanjing Sciyon Wisdom Technology Group's TSR of 59% over the last 5 years is better than the share price return.
A Different Perspective
We're pleased to report that Nanjing Sciyon Wisdom Technology Group shareholders have received a total shareholder return of 15% over one year. That gain is better than the annual TSR over five years, which is 10%. Therefore it seems like sentiment around the company has been positive lately. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. Is Nanjing Sciyon Wisdom Technology Group cheap compared to other companies? These 3 valuation measures might help you decide.
But note: Nanjing Sciyon Wisdom Technology Group 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.
Valuation is complex, but we're here to simplify it.
Discover if Nanjing Sciyon Wisdom Technology Group might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
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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.
About SZSE:002380
Nanjing Sciyon Wisdom Technology Group
Nanjing Sciyon Wisdom Technology Group Co., Ltd.
High growth potential with excellent balance sheet.