- Germany
- Semiconductors
- DB:CTNK
The 11% return this week takes centrotherm international's (FRA:CTNK) shareholders three-year gains to 231%
- Published
- January 08, 2022
The most you can lose on any stock (assuming you don't use leverage) is 100% of your money. But when you pick a company that is really flourishing, you can make more than 100%. For example, the centrotherm international AG (FRA:CTNK) share price has soared 231% in the last three years. That sort of return is as solid as granite. It's even up 11% in the last week.
The past week has proven to be lucrative for centrotherm international investors, so let's see if fundamentals drove the company's three-year performance.
View our latest analysis for centrotherm international
centrotherm international isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. When a company doesn't make profits, we'd generally expect 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.
In the last 3 years centrotherm international saw its revenue shrink by 9.2% per year. So the share price gain of 49% per year is quite surprising. It's fair to say shareholders are definitely counting on a bright future.
You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).
If you are thinking of buying or selling centrotherm international stock, you should check out this FREE detailed report on its balance sheet.
A Different Perspective
We're pleased to report that centrotherm international shareholders have received a total shareholder return of 79% over one year. Since the one-year TSR is better than the five-year TSR (the latter coming in at 26% per year), it would seem that the stock's performance has improved in recent times. In the best case scenario, this may hint at some real business momentum, implying that now could be a great time to delve deeper. 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 1 warning sign for centrotherm international that you should be aware of.
For those who like to find winning investments this free list of growing 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 DE 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.