The Jayaswal Neco Industries (NSE:JAYNECOIND) Share Price Is Up 58% And Shareholders Are Holding On

Jayaswal Neco Industries Limited (NSE:JAYNECOIND) shareholders might be concerned after seeing the share price drop 10% in the last week. But that doesn't change the fact that the returns over the last year have been pleasing. To wit, it had solidly beat the market, up 58%.

Check out our latest analysis for Jayaswal Neco Industries

Given that Jayaswal Neco Industries didn't make a profit in the last twelve months, we'll focus on revenue growth to form a quick view of its business development. Shareholders of unprofitable companies usually expect strong revenue growth. That's because fast revenue growth can be easily extrapolated to forecast profits, often of considerable size.

In the last year Jayaswal Neco Industries saw its revenue shrink by 28%. The stock is up 58% in that time, a fine performance given the revenue drop. We can correlate the share price rise with revenue or profit growth, but it seems the market had previously expected weaker results, and sentiment around the stock is improving.

The graphic below depicts how earnings and revenue have changed over time (unveil the exact values by clicking on the image).

Take a more thorough look at Jayaswal Neco Industries' financial health with this free report on its balance sheet.

A Different Perspective

It's good to see that Jayaswal Neco Industries has rewarded shareholders with a total shareholder return of 58% in the last twelve months. That certainly beats the loss of about 4% per year over the last half decade. This makes us a little wary, but the business might have turned around its fortunes. 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 for instance, the ever-present spectre of investment risk. We've identified 3 warning signs with Jayaswal Neco Industries (at least 1 which shouldn't be ignored) , and understanding them should be part of your investment process.

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 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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