If You Had Bought Tata Teleservices (Maharashtra) (NSE:TTML) Shares A Year Ago You'd Have Earned 229% Returns

Unless you borrow money to invest, the potential losses are limited. But if you pick the right stock, you can make a lot more than 100%. For example, the Tata Teleservices (Maharashtra) Limited (NSE:TTML) share price had more than doubled in just one year - up 229%. It's also good to see the share price up 143% over the last quarter. However, the longer term returns haven't been so impressive, with the stock up just 13% in the last three years.

View our latest analysis for Tata Teleservices (Maharashtra)

Tata Teleservices (Maharashtra) 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. That's because it's hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.

In the last year Tata Teleservices (Maharashtra) saw its revenue shrink by 14%. We're a little surprised to see the share price pop 229% in the last year. It just goes to show the market doesn't always pay attention to the reported numbers. It's quite likely the revenue fall was already priced in, anyway.

The company's revenue and earnings (over time) are depicted in the image below (click to see the exact numbers).

Take a more thorough look at Tata Teleservices (Maharashtra)'s financial health with this free report on its balance sheet.

A Different Perspective

It's nice to see that Tata Teleservices (Maharashtra) shareholders have received a total shareholder return of 229% over the last year. There's no doubt those recent returns are much better than the TSR loss of 1.8% per year over five years. The long term loss makes us cautious, but the short term TSR gain certainly hints at a brighter future. It's always interesting to track share price performance over the longer term. But to understand Tata Teleservices (Maharashtra) better, we need to consider many other factors. To that end, you should learn about the 3 warning signs we've spotted with Tata Teleservices (Maharashtra) (including 2 which is are significant) .

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

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

When trading Tata Teleservices (Maharashtra) or any other investment, use the platform considered by many to be the Professional's Gateway to the Worlds Market, Interactive Brokers. You get the lowest-cost* trading on stocks, options, futures, forex, bonds and funds worldwide from a single integrated account. Promoted

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.
^*Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com.