Can You Imagine How Jubilant iMBCLtd's (KOSDAQ:052220) Shareholders Feel About Its 122% Share Price Gain?

iMBC Co.,Ltd. (KOSDAQ:052220) shareholders might be concerned after seeing the share price drop 12% in the last week. But that doesn't change the fact that the returns over the last year have been very strong. Like an eagle, the share price soared 122% in that time. So we think most shareholders won't be too upset about the recent fall. More important, going forward, is how the business itself is going.

See our latest analysis for iMBCLtd

Given that iMBCLtd only made minimal earnings in the last twelve months, we'll focus on revenue to gauge its business development. As a general rule, we think this kind of company is more comparable to loss-making stocks, since the actual profit is so low. It would be hard to believe in a more profitable future without growing revenues.

In the last year iMBCLtd saw its revenue shrink by 20%. So we would not have expected the share price to rise 122%. This is a good example of how buyers can push up prices even before the fundamental metrics show much growth. Of course, it could be that the market expected this revenue drop.

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 iMBCLtd stock, you should check out this FREE detailed report on its balance sheet.

A Different Perspective

We're pleased to report that iMBCLtd shareholders have received a total shareholder return of 122% over one year. That's better than the annualised return of 4% over half a decade, implying that the company is doing better recently. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. To that end, you should learn about the 3 warning signs we've spotted with iMBCLtd (including 1 which is a bit unpleasant) .

We will like iMBCLtd 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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