Sun Hing Printing Holdings (HKG:1975) Has Gifted Shareholders With A Fantastic 206% Total Return On Their Investment

Unless you borrow money to invest, the potential losses are limited. But if you pick the right business to buy shares in, you can make more than you can lose. Take, for example Sun Hing Printing Holdings Limited (HKG:1975). Its share price is already up an impressive 181% in the last twelve months. It's also good to see the share price up 57% over the last quarter. Zooming out, the stock is actually down 15% in the last three years.

See our latest analysis for Sun Hing Printing Holdings

In his essay The Superinvestors of Graham-and-Doddsville Warren Buffett described how share prices do not always rationally reflect the value of a business. One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.

Sun Hing Printing Holdings was able to grow EPS by 39% in the last twelve months. This EPS growth is significantly lower than the 181% increase in the share price. So it's fair to assume the market has a higher opinion of the business than it a year ago.

You can see below how EPS has changed over time (discover the exact values by clicking on the image).

Before buying or selling a stock, we always recommend a close examination of historic growth trends, available here.

What About Dividends?

As well as measuring the share price return, investors should also consider the total shareholder return (TSR). The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. We note that for Sun Hing Printing Holdings the TSR over the last year was 206%, which is better than the share price return mentioned above. This is largely a result of its dividend payments!

A Different Perspective

Pleasingly, Sun Hing Printing Holdings' total shareholder return last year was 206%. That's including the dividend. That gain actually surpasses the 1.3% TSR it generated (per year) over three years. The improving returns to shareholders suggests the stock is becoming more popular with time. It's always interesting to track share price performance over the longer term. But to understand Sun Hing Printing Holdings better, we need to consider many other factors. To that end, you should be aware of the 3 warning signs we've spotted with Sun Hing Printing Holdings .

We will like Sun Hing Printing Holdings better if we see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on HK 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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