China Kepei Education Group (HKG:1890) Shareholders Booked A 37% Gain In The Last Year

It hasn't been the best quarter for China Kepei Education Group Limited (HKG:1890) shareholders, since the share price has fallen 16% in that time. But looking back over the last year, the returns have actually been rather pleasing! To wit, it had solidly beat the market, up 37%.

View our latest analysis for China Kepei Education Group

To quote Buffett, 'Ships will sail around the world but the Flat Earth Society will flourish. There will continue to be wide discrepancies between price and value in the marketplace...' By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time.

China Kepei Education Group was able to grow EPS by 12% in the last twelve months. This EPS growth is significantly lower than the 37% increase in the share price. This indicates that the market is now more optimistic about the stock.

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

It's probably worth noting that the CEO is paid less than the median at similar sized companies. It's always worth keeping an eye on CEO pay, but a more important question is whether the company will grow earnings throughout the years. This free interactive report on China Kepei Education Group's earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further.

What About Dividends?

When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. We note that for China Kepei Education Group the TSR over the last year was 39%, which is better than the share price return mentioned above. This is largely a result of its dividend payments!

A Different Perspective

China Kepei Education Group boasts a total shareholder return of 39% for the last year (that includes the dividends) . Unfortunately the share price is down 16% over the last quarter. It may simply be that the share price got ahead of itself, although there may have been fundamental developments that are weighing on it. Before deciding if you like the current share price, check how China Kepei Education Group scores on these 3 valuation metrics.

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 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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