The DK&DLtd (KOSDAQ:263020) Share Price Has Gained 147%, So Why Not Pay It Some Attention?

Unfortunately, investing is risky - companies can and do go bankrupt. On the other hand, if you find a high quality business to buy (at the right price) you can more than double your money! For example, the DK&D Co.,Ltd (KOSDAQ:263020) share price has soared 147% in the last year. Most would be very happy with that, especially in just one year! It's also good to see the share price up 29% over the last quarter. But this could be related to the strong market, which is up 24% in the last three months. DK&DLtd hasn't been listed for long, so it's still not clear if it is a long term winner.

Check out our latest analysis for DK&DLtd

There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS).

DK&DLtd was able to grow EPS by 74% in the last twelve months. The share price gain of 147% certainly outpaced the EPS growth. This indicates that the market is now more optimistic about the stock.

The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers).

Dive deeper into DK&DLtd's key metrics by checking this interactive graph of DK&DLtd's earnings, revenue and cash flow.

A Different Perspective

It's nice to see that DK&DLtd shareholders have gained 147% over the last year. The more recent returns haven't been as impressive as the longer term returns, coming in at just 29%. It seems likely the market is waiting on fundamental developments with the business before pushing the share price higher (or lower). It's always interesting to track share price performance over the longer term. But to understand DK&DLtd better, we need to consider many other factors. To that end, you should be aware of the 2 warning signs we've spotted with DK&DLtd .

Of course DK&DLtd 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 KR exchanges.

When trading DK&DLtd 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 (at) simplywallst.com.