Did You Participate In Any Of Plastika Kritis' (ATH:PLAKR) Fantastic 218% Return ?
The worst result, after buying shares in a company (assuming no leverage), would be if you lose all the money you put in. But when you pick a company that is really flourishing, you can make more than 100%. For instance, the price of Plastika Kritis S.A. (ATH:PLAKR) stock is up an impressive 182% over the last five years. The last week saw the share price soften some 2.6%.
Check out our latest analysis for Plastika Kritis
While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. 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).
Over half a decade, Plastika Kritis managed to grow its earnings per share at 20% a year. This EPS growth is reasonably close to the 23% average annual increase in the share price. That suggests that the market sentiment around the company hasn't changed much over that time. Rather, the share price has approximately tracked EPS growth.
The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers).
Dive deeper into Plastika Kritis' key metrics by checking this interactive graph of Plastika Kritis's earnings, revenue and cash flow.
What About Dividends?
It is important to consider the total shareholder return, as well as the share price return, for any given stock. Whereas the share price return only reflects the change in the share price, the TSR includes the value of dividends (assuming they were reinvested) and the benefit of any discounted capital raising or spin-off. Arguably, the TSR gives a more comprehensive picture of the return generated by a stock. In the case of Plastika Kritis, it has a TSR of 218% for the last 5 years. That exceeds its share price return that we previously mentioned. And there's no prize for guessing that the dividend payments largely explain the divergence!
A Different Perspective
It's nice to see that Plastika Kritis shareholders have received a total shareholder return of 19% over the last year. That's including the dividend. Having said that, the five-year TSR of 26% a year, is even better. It's always interesting to track share price performance over the longer term. But to understand Plastika Kritis better, we need to consider many other factors. Consider risks, for instance. Every company has them, and we've spotted 1 warning sign for Plastika Kritis you should know about.
If you like to buy stocks alongside management, then you might just love this free list of companies. (Hint: insiders have been buying them).
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on GR 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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About ATSE:PLAKR
Plastika Kritis
Produces and sells masterbatches and agricultural films in Greece.
Flawless balance sheet with solid track record.