Eveready Industries India (NSE:EVEREADY) Shareholders Have Enjoyed A Whopping 370% Share Price Gain

While some are satisfied with an index fund, active investors aim to find truly magnificent investments on the stock market. When you find (and hold) a big winner, you can markedly improve your finances. For example, the Eveready Industries India Limited (NSE:EVEREADY) share price rocketed moonwards 370% in just one year. It's also good to see the share price up 46% over the last quarter. Unfortunately the longer term returns are not so good, with the stock falling 29% in the last three years.

Check out our latest analysis for Eveready Industries India

While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. 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).

Eveready Industries India was able to grow EPS by 61% in the last twelve months. The share price gain of 370% certainly outpaced the EPS growth. This indicates that the market is now more optimistic about the stock.

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

It might be well worthwhile taking a look at our free report on Eveready Industries India's earnings, revenue and cash flow.

A Different Perspective

It's nice to see that Eveready Industries India shareholders have received a total shareholder return of 370% over the last year. That's better than the annualised return of 4% over half a decade, implying that the company is doing better recently. In the best case scenario, this may hint at some real business momentum, implying that now could be a great time to delve deeper. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Consider risks, for instance. Every company has them, and we've spotted 3 warning signs for Eveready Industries India you should know about.

We will like Eveready Industries India 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 IN 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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