Taking the occasional loss comes part and parcel with investing on the stock market. Unfortunately, shareholders of Intense Technologies Limited (NSE:INTENTECH) have suffered share price declines over the last year. The share price is down a hefty 51% in that time. Because Intense Technologies hasn’t been listed for many years, the market is still learning about how the business performs. Even worse, it’s down 9.0% in about a month, which isn’t fun at all.
See our latest analysis for Intense Technologies
Intense Technologies isn’t currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. When a company doesn’t make profits, we’d generally expect to see good revenue growth. That’s because fast revenue growth can be easily extrapolated to forecast profits, often of considerable size.
Intense Technologies’s revenue didn’t grow at all in the last year. In fact, it fell 2.9%. That’s not what investors generally want to see. In the absence of profits, it’s not unreasonable that the share price fell 51%. Fingers crossed this is the low ebb for the stock. We have a natural aversion to companies that are losing money and shrinking revenue. But perhaps that is being too careful.
Depicted in the graphic below, you’ll see revenue and earnings over time. If you want more detail, you can click on the chart itself.
If you are thinking of buying or selling Intense Technologies stock, you should check out this FREE detailed report on its balance sheet.
A Different Perspective
Given that the market gained 1.8% in the last year, Intense Technologies shareholders might be miffed that they lost 51%. While the aim is to do better than that, it’s worth recalling that even great long-term investments sometimes underperform for a year or more. It’s great to see a nice little 1.5% rebound in the last three months. This could just be a bounce because the selling was too aggressive, but fingers crossed it’s the start of a new trend. You could get a better understanding of Intense Technologies’s growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
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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 IN exchanges.
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