Shareholders Of Hampidjan Hf (ICE:HAMP) Must Be Happy With Their 299% Total Return

The most you can lose on any stock (assuming you don't use leverage) is 100% of your money. But on the bright side, you can make far more than 100% on a really good stock. Long term Hampidjan Hf. (ICE:HAMP) shareholders would be well aware of this, since the stock is up 254% in five years. Also pleasing for shareholders was the 35% gain in the last three months. But this could be related to the strong market, which is up 23% in the last three months.

Check out our latest analysis for Hampidjan Hf

Given that Hampidjan Hf only made minimal earnings in the last twelve months, we'll focus on revenue to gauge its business development. As a general rule, we think this kind of company is more comparable to loss-making stocks, since the actual profit is so low. It would be hard to believe in a more profitable future without growing revenues.

For the last half decade, Hampidjan Hf can boast revenue growth at a rate of 18% per year. That's well above most pre-profit companies. Meanwhile, its share price performance certainly reflects the strong growth, given the share price grew at 29% per year, compound, during the period. So it seems likely that buyers have paid attention to the strong revenue growth. To our minds that makes Hampidjan Hf worth investigating - it may have its best days ahead.

The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).

If you are thinking of buying or selling Hampidjan Hf stock, you should check out this FREE detailed report on its balance sheet.

What about the Total Shareholder Return (TSR)?

We've already covered Hampidjan Hf's share price action, but we should also mention its total shareholder return (TSR). The TSR attempts to capture the value of dividends (as if they were reinvested) as well as any spin-offs or discounted capital raisings offered to shareholders. Its history of dividend payouts mean that Hampidjan Hf's TSR of 299% over the last 5 years is better than the share price return.

A Different Perspective

We're pleased to report that Hampidjan Hf shareholders have received a total shareholder return of 95% over one year. That's better than the annualised return of 32% over half a decade, implying that the company is doing better recently. Someone with an optimistic perspective could view the recent improvement in TSR as indicating that the business itself is getting better with time. It's always interesting to track share price performance over the longer term. But to understand Hampidjan Hf better, we need to consider many other factors. For example, we've discovered 2 warning signs for Hampidjan Hf (1 shouldn't be ignored!) that you should be aware of before investing here.

Of course Hampidjan Hf may not be the best stock to buy. So you may wish to see this free collection of growth stocks.

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