Stock Analysis

Can You Imagine How Elated Samkang M&TLtd's (KOSDAQ:100090) Shareholders Feel About Its 368% Share Price Gain?

KOSE:A100090
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Samkang M&T Co.,Ltd (KOSDAQ:100090) shareholders have seen the share price descend 13% over the month. But that isn't a problem when you consider how the share price has soared over the last year. Few could complain about the impressive 368% rise, throughout the period. So the recent fall isn't enough to negate the good performance. The real question is whether the fundamental business performance can justify the strong increase over the long term.

Check out our latest analysis for Samkang M&TLtd

Given that Samkang M&TLtd only made minimal earnings in the last twelve months, we'll focus on revenue to gauge its business development. Generally speaking, we'd consider a stock like this alongside loss-making companies, simply because the quantum of the profit is so low. For shareholders to have confidence a company will grow profits significantly, it must grow revenue.

Over the last twelve months, Samkang M&TLtd's revenue grew by 52%. That's a head and shoulders above most loss-making companies. But the share price has really rocketed in response gaining 368% as previously mentioned. Despite the strong growth, it's certainly possible the market has gotten a little over-excited. So this looks like a great watchlist candidate for investors who look for high growth inflexion points.

You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).

earnings-and-revenue-growth
KOSDAQ:A100090 Earnings and Revenue Growth February 1st 2021

We know that Samkang M&TLtd has improved its bottom line lately, but what does the future have in store? So it makes a lot of sense to check out what analysts think Samkang M&TLtd will earn in the future (free profit forecasts).

A Different Perspective

It's good to see that Samkang M&TLtd has rewarded shareholders with a total shareholder return of 368% in the last twelve months. Since the one-year TSR is better than the five-year TSR (the latter coming in at 32% per year), it would seem that the stock's performance has improved in recent times. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Even so, be aware that Samkang M&TLtd is showing 3 warning signs in our investment analysis , and 1 of those makes us a bit uncomfortable...

If you like to buy stocks alongside management, then you might just love this free list of companies. (Hint: insiders have been buying them).

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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