Orissa Minerals Development (NSE:ORISSAMINE) delivers shareholders incredible 50% CAGR over 5 years, surging 13% in the last week alone

Buying shares in the best businesses can build meaningful wealth for you and your family. While the best companies are hard to find, but they can generate massive returns over long periods. To wit, the The Orissa Minerals Development Company Limited (NSE:ORISSAMINE) share price has soared 647% over five years. If that doesn't get you thinking about long term investing, we don't know what will. And in the last week the share price has popped 13%. It really delights us to see such great share price performance for investors.

Since it's been a strong week for Orissa Minerals Development shareholders, let's have a look at trend of the longer term fundamentals.

View our latest analysis for Orissa Minerals Development

Orissa Minerals Development isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.

For the last half decade, Orissa Minerals Development can boast revenue growth at a rate of 53% per year. That's well above most pre-profit companies. Arguably, this is well and truly reflected in the strong share price gain of 50%(per year) over the same period. Despite the strong run, top performers like Orissa Minerals Development have been known to go on winning for decades. On the face of it, this looks lke a good opportunity, although we note sentiment seems very positive already.

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 Orissa Minerals Development's financial health with this free report on its balance sheet.

A Different Perspective

It's good to see that Orissa Minerals Development has rewarded shareholders with a total shareholder return of 159% in the last twelve months. That's better than the annualised return of 50% over half a decade, implying that the company is doing better recently. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. For example, we've discovered 1 warning sign for Orissa Minerals Development that you should be aware of before investing here.

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 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.