Introducing Hyosung TNC (KRX:298020), The Stock That Soared 419% In The Last Year

Active investing isn't easy, but for those that do it, the aim is to find the best companies to buy, and to profit handsomely. When you buy and hold the right company, the returns can make a huge difference to both you and your family. For example, Hyosung TNC Corporation (KRX:298020) has generated a beautiful 419% return in just a single year. On top of that, the share price is up 181% in about a quarter. This could be related to the recent financial results, released recently - you can catch up on the most recent data by reading our company report. We'll need to follow Hyosung TNC for a while to get a better sense of its share price trend, since it hasn't been listed for particularly long.

View our latest analysis for Hyosung TNC

While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.

During the last year Hyosung TNC grew its earnings per share (EPS) by 47%. This EPS growth is significantly lower than the 419% increase in the share price. This indicates that the market is now more optimistic about the stock.

You can see how EPS has changed over time in the image below (click on the chart to see the exact values).

We know that Hyosung TNC has improved its bottom line over the last three years, but what does the future have in store? Take a more thorough look at Hyosung TNC's financial health with this free report on its balance sheet.

What About Dividends?

When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. We note that for Hyosung TNC the TSR over the last year was 433%, which is better than the share price return mentioned above. The dividends paid by the company have thusly boosted the total shareholder return.

A Different Perspective

Hyosung TNC shareholders should be happy with the total gain of 433% over the last twelve months, including dividends. And the share price momentum remains respectable, with a gain of 181% in the last three months. This suggests the company is continuing to win over new investors. It's always interesting to track share price performance over the longer term. But to understand Hyosung TNC better, we need to consider many other factors. Consider risks, for instance. Every company has them, and we've spotted 2 warning signs for Hyosung TNC you should know about.

We will like Hyosung TNC better if we see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

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