HealthCare Global Enterprises (NSE:HCG) shareholder returns have been massive, earning 342% in 5 years

We think all investors should try to buy and hold high quality multi-year winners. And we've seen some truly amazing gains over the years. For example, the HealthCare Global Enterprises Limited (NSE:HCG) share price is up a whopping 342% in the last half decade, a handsome return for long term holders. And this is just one example of the epic gains achieved by some long term investors. Also pleasing for shareholders was the 12% gain in the last three months.

The past week has proven to be lucrative for HealthCare Global Enterprises investors, so let's see if fundamentals drove the company's five-year performance.

Check out our latest analysis for HealthCare Global Enterprises

We don't think that HealthCare Global Enterprises' modest trailing twelve month profit has the market's full attention at the moment. We think revenue is probably a better guide. Generally speaking, we'd consider a stock like this alongside loss-making companies, simply because the quantum of the profit is so low. For shareholders to have confidence a company will grow profits significantly, it must grow revenue.

In the last 5 years HealthCare Global Enterprises saw its revenue grow at 16% per year. That's well above most pre-profit companies. Fortunately, the market has not missed this, and has pushed the share price up by 35% per year in that time. It's never too late to start following a top notch stock like HealthCare Global Enterprises, since some long term winners go on winning for decades. On the face of it, this looks lke a good opportunity, although we note sentiment seems very positive already.

You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).

It is of course excellent to see how HealthCare Global Enterprises has grown profits over the years, but the future is more important for shareholders. This free interactive report on HealthCare Global Enterprises' balance sheet strength is a great place to start, if you want to investigate the stock further.

A Different Perspective

It's good to see that HealthCare Global Enterprises has rewarded shareholders with a total shareholder return of 46% in the last twelve months. Since the one-year TSR is better than the five-year TSR (the latter coming in at 35% per year), it would seem that the stock's performance has improved in recent times. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. It's always interesting to track share price performance over the longer term. But to understand HealthCare Global Enterprises better, we need to consider many other factors. Even so, be aware that HealthCare Global Enterprises is showing 1 warning sign in our investment analysis , you should know about...

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

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.