Investors Who Bought CentralBio (KOSDAQ:051980) Shares A Year Ago Are Now Up 369%

While some are satisfied with an index fund, active investors aim to find truly magnificent investments on the stock market. When you buy and hold the right company, the returns can make a huge difference to both you and your family. For example, the CentralBio Co., Ltd (KOSDAQ:051980) share price is up a whopping 369% in the last year, a handsome return in a single year. On top of that, the share price is up 78% in about a quarter. And shareholders have also done well over the long term, with an increase of 196% in the last three years.

Check out our latest analysis for CentralBio

Because CentralBio 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. When a company doesn't make profits, we'd generally expect to see good revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.

CentralBio grew its revenue by 42% last year. We respect that sort of growth, no doubt. But the market is even more excited about it, with the price apparently bound for the moon, up 369% in one of earth's orbits. We're always cautious when the share price is up so much, but there's certainly enough revenue growth to justify taking a closer look at CentralBio.

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

A Different Perspective

It's good to see that CentralBio has rewarded shareholders with a total shareholder return of 369% in the last twelve months. That certainly beats the loss of about 9% per year over the last half decade. The long term loss makes us cautious, but the short term TSR gain certainly hints at a brighter future. 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. Case in point: We've spotted 2 warning signs for CentralBio you should be aware of.

Of course CentralBio may not be the best stock to buy. So you may wish to see this free collection of growth stocks.

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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