CU Medical Systems' (KOSDAQ:115480) Shareholders Are Down 28% On Their Shares

CU Medical Systems, Inc. (KOSDAQ:115480) shareholders should be happy to see the share price up 13% in the last quarter. But over the last half decade, the stock has not performed well. You would have done a lot better buying an index fund, since the stock has dropped 28% in that half decade.

View our latest analysis for CU Medical Systems

CU Medical Systems 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. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.

Over five years, CU Medical Systems grew its revenue at 18% per year. That's well above most other pre-profit companies. The share price drop of 5% per year over five years would be considered let down. So you might argue the CU Medical Systems should get more credit for its rather impressive revenue growth over the period. If that's the case, now might be the smart time to take a close look at it.

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 CU Medical Systems stock, you should check out this FREE detailed report on its balance sheet.

A Different Perspective

CU Medical Systems shareholders are down 9.5% for the year, but the market itself is up 42%. However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. Regrettably, last year's performance caps off a bad run, with the shareholders facing a total loss of 5% per year over five years. We realise that Baron Rothschild has said investors should "buy when there is blood on the streets", but we caution that investors should first be sure they are buying a high quality business. It's always interesting to track share price performance over the longer term. But to understand CU Medical Systems better, we need to consider many other factors. For instance, we've identified 4 warning signs for CU Medical Systems (1 is concerning) that you should be aware of.

If you are like me, then you will not want to miss this free list of growing companies that insiders are 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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