Chengdu CORPRO TechnologyLtd (SZSE:300101) delivers shareholders impressive 24% CAGR over 5 years, surging 11% in the last week alone

When you buy a stock there is always a possibility that it could drop 100%. But on the bright side, you can make far more than 100% on a really good stock. One great example is Chengdu CORPRO Technology Co.,Ltd. (SZSE:300101) which saw its share price drive 191% higher over five years. Also pleasing for shareholders was the 105% gain in the last three months.

Since it's been a strong week for Chengdu CORPRO TechnologyLtd shareholders, let's have a look at trend of the longer term fundamentals.

See our latest analysis for Chengdu CORPRO TechnologyLtd

Given that Chengdu CORPRO TechnologyLtd only made minimal earnings in the last twelve months, we'll focus on revenue to gauge its business development. As a general rule, we think this kind of company is more comparable to loss-making stocks, since the actual profit is so low. For shareholders to have confidence a company will grow profits significantly, it must grow revenue.

For the last half decade, Chengdu CORPRO TechnologyLtd can boast revenue growth at a rate of 15% per year. That's a pretty good long term growth rate. Broadly speaking, this solid progress may well be reflected by the healthy share price gain of 24% per year over five years. It's well worth monitoring the growth trend in revenue, because if growth accelerates, that might signal an opportunity. Accelerating growth can be a sign of an inflection point - and could indicate profits lie ahead. Worth watching 100%

You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).

Take a more thorough look at Chengdu CORPRO TechnologyLtd's financial health with this free report on its balance sheet.

A Different Perspective

Chengdu CORPRO TechnologyLtd provided a TSR of 6.6% over the last twelve months. Unfortunately this falls short of the market return. It's probably a good sign that the company has an even better long term track record, having provided shareholders with an annual TSR of 24% over five years. It may well be that this is a business worth popping on the watching, given the continuing positive reception, over time, from the market. 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. Consider for instance, the ever-present spectre of investment risk. We've identified 3 warning signs with Chengdu CORPRO TechnologyLtd , and understanding them should be part of your investment process.

For those who like to find winning investments this free list of undervalued companies with recent insider purchasing, could be just the ticket.

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.