Y.H. Dimri Construction & Development (TLV:DIMRI) Has Gifted Shareholders With A Fantastic 290% Total Return On Their Investment

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 Y.H. Dimri Construction & Development Ltd (TLV:DIMRI) stock is up an impressive 233% over the last five years. It's also good to see the share price up 41% over the last quarter. But this move may well have been assisted by the reasonably buoyant market (up 26% in 90 days).

View our latest analysis for Y.H. Dimri Construction & Development

There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. 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.

Over half a decade, Y.H. Dimri Construction & Development managed to grow its earnings per share at 2.6% a year. This EPS growth is slower than the share price growth of 27% per year, over the same period. This suggests that market participants hold the company in higher regard, these days. And that's hardly shocking given the track record of growth.

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

This free interactive report on Y.H. Dimri Construction & Development'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. 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. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. As it happens, Y.H. Dimri Construction & Development's TSR for the last 5 years was 290%, which exceeds the share price return mentioned earlier. And there's no prize for guessing that the dividend payments largely explain the divergence!

A Different Perspective

We're pleased to report that Y.H. Dimri Construction & Development shareholders have received a total shareholder return of 26% over one year. And that does include the dividend. Having said that, the five-year TSR of 31% a year, is even better. It's always interesting to track share price performance over the longer term. But to understand Y.H. Dimri Construction & Development better, we need to consider many other factors. Like risks, for instance. Every company has them, and we've spotted 3 warning signs for Y.H. Dimri Construction & Development (of which 1 is significant!) you should know about.

Of course Y.H. Dimri Construction & Development may not be the best stock to buy. So you may wish to see this free collection of growth stocks.

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