Georgia Capital's(LON:CGEO) Share Price Is Down 45% Over The Past Year.

It is a pleasure to report that the Georgia Capital PLC (LON:CGEO) is up 41% in the last quarter. But that is minimal compensation for the share price under-performance over the last year. In fact the stock is down 45% in the last year, well below the market return.

Check out our latest analysis for Georgia Capital

To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. 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).

Georgia Capital managed to increase earnings per share from a loss to a profit, over the last 12 months.

We're surprised that the share price is lower given that improvement. If the improved profitability is a sign of things to come, then right now may prove the perfect time to pop this stock on your watchlist.

The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers).

Dive deeper into Georgia Capital's key metrics by checking this interactive graph of Georgia Capital's earnings, revenue and cash flow.

A Different Perspective

Georgia Capital shareholders are down 45% for the year, even worse than the market loss of 6.4%. There's no doubt that's a disappointment, but the stock may well have fared better in a stronger market. Putting aside the last twelve months, it's good to see the share price has rebounded by 41%, in the last ninety days. This could just be a bounce because the selling was too aggressive, but fingers crossed it's the start of a new trend. It's always interesting to track share price performance over the longer term. But to understand Georgia Capital better, we need to consider many other factors. For example, we've discovered 4 warning signs for Georgia Capital (1 is significant!) that you should be aware of before investing here.

But note: Georgia Capital 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 GB exchanges.

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This article by Simply Wall St is general in nature. 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.
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