Stock Analysis

Daehan Green Power's(KOSDAQ:060900) Share Price Is Down 43% Over The Past Three Years.

KOSDAQ:A060900
Source: Shutterstock

For many investors, the main point of stock picking is to generate higher returns than the overall market. But if you try your hand at stock picking, your risk returning less than the market. We regret to report that long term Daehan Green Power Corporation (KOSDAQ:060900) shareholders have had that experience, with the share price dropping 43% in three years, versus a market return of about 14%. And more recent buyers are having a tough time too, with a drop of 29% in the last year. More recently, the share price has dropped a further 37% in a month.

See our latest analysis for Daehan Green Power

Because Daehan Green Power made a loss in the last twelve months, we think the market is probably more focussed on revenue and revenue growth, at least for now. Shareholders of unprofitable companies usually expect strong revenue growth. 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.

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

earnings-and-revenue-growth
KOSDAQ:A060900 Earnings and Revenue Growth August 12th 2020

Take a more thorough look at Daehan Green Power's financial health with this free report on its balance sheet.

A Different Perspective

Over the last year, Daehan Green Power shareholders took a loss of 29%. In contrast the market gained about 30%. Of course the long term matters more than the short term, and even great stocks will sometimes have a poor year. Shareholders have lost 13% per year over the last three years, so the share price drop has become steeper, over the last year; a potential symptom of as yet unsolved challenges. We would be wary of buying into a company with unsolved problems, although some investors will buy into struggling stocks if they believe the price is sufficiently attractive. It's always interesting to track share price performance over the longer term. But to understand Daehan Green Power better, we need to consider many other factors. To that end, you should learn about the 3 warning signs we've spotted with Daehan Green Power (including 1 which is is significant) .

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of companies we expect will grow earnings.

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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