Havyard Group (OB:HYARD) Shareholders Have Enjoyed A Whopping 490% Share Price Gain

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. In the case of Havyard Group ASA (OB:HYARD), the share price is up an incredible 490% in the last year alone. Shareholders are also celebrating an even better 933% rise, over the last three months. The company reported its financial results recently; you can catch up on the latest numbers by reading our company report. Looking back further, the stock price is 90% higher than it was three years ago.

See our latest analysis for Havyard Group

Havyard Group wasn't profitable in the last twelve months, it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). Arguably revenue is our next best option. Shareholders of unprofitable companies usually expect strong revenue growth. That's because it's hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.

In the last year Havyard Group saw its revenue shrink by 7.4%. This is in stark contrast to the splendorous stock price, which has rocketed 490% since this time a year ago. There can be no doubt this kind of decoupling of revenue growth and share price growth is unusual to see in loss making companies. While this gain looks like speculative buying to us, sometimes speculation pays off.

You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).

Take a more thorough look at Havyard Group's financial health with this free report on its balance sheet.

A Different Perspective

We're pleased to report that Havyard Group shareholders have received a total shareholder return of 490% over one year. That gain is better than the annual TSR over five years, which is 24%. Therefore it seems like sentiment around the company has been positive lately. Someone with an optimistic perspective could view the recent improvement in TSR as indicating that the business itself is getting better with time. It's always interesting to track share price performance over the longer term. But to understand Havyard Group better, we need to consider many other factors. Like risks, for instance. Every company has them, and we've spotted 3 warning signs for Havyard Group (of which 1 is significant!) you should know about.

We will like Havyard Group 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 NO 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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