Imagine Holding Fastned B.V (AMS:FAST) Shares While The Price Zoomed 423% Higher

For many, the main point of investing in the stock market is to achieve spectacular returns. When you find (and hold) a big winner, you can markedly improve your finances. For example, the Fastned B.V. (AMS:FAST) share price rocketed moonwards 423% in just one year. On top of that, the share price is up 419% in about a quarter. Note that businesses generally develop over the long term, so the returns over the last year might not reflect a long term trend.

See our latest analysis for Fastned B.V

Given that Fastned B.V didn't make a profit in the last twelve months, we'll focus on revenue growth to form a quick view of its business development. Shareholders of unprofitable companies usually expect strong revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.

Over the last twelve months, Fastned B.V's revenue grew by 71%. That's stonking growth even when compared to other loss-making stocks. But the share price has really rocketed in response gaining 423% 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 how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).

It's probably worth noting that the CEO is paid less than the median at similar sized companies. But while CEO remuneration is always worth checking, the really important question is whether the company can grow earnings going forward. If you are thinking of buying or selling Fastned B.V stock, you should check out this free report showing analyst profit forecasts.

A Different Perspective

Fastned B.V shareholders should be happy with the total gain of 423% over the last twelve months. A substantial portion of that gain has come in the last three months, with the stock up 419% in that time. Demand for the stock from multiple parties is pushing the price higher; it could be that word is getting out about its virtues as a business. It's always interesting to track share price performance over the longer term. But to understand Fastned B.V better, we need to consider many other factors. For example, we've discovered 4 warning signs for Fastned B.V (2 are a bit concerning!) that you should be aware of before investing here.

Of course Fastned B.V 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 NL 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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