Did You Miss Plexure Group's (NZSE:PX1) Whopping 465% Share Price Gain?

While Plexure Group Limited (NZSE:PX1) shareholders are probably generally happy, the stock hasn't had particularly good run recently, with the share price falling 27% in the last quarter. But over three years the performance has been really wonderful. In fact, the share price has taken off in that time, up 465%. Arguably, the recent fall is to be expected after such a strong rise. Only time will tell if there is still too much optimism currently reflected in the share price.

View our latest analysis for Plexure Group

Given that Plexure Group 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. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.

Plexure Group's revenue trended up 36% each year over three years. That's much better than most loss-making companies. In light of this attractive revenue growth, it seems somewhat appropriate that the share price has been rocketing, boasting a gain of 78% per year, over the same period. Despite the strong run, top performers like Plexure Group have been known to go on winning for decades. So we'd recommend you take a closer look at this one, or even put it on your watchlist.

The graphic below depicts how earnings and revenue have changed over time (unveil the exact values by clicking on the image).

If you are thinking of buying or selling Plexure Group stock, you should check out this FREE detailed report on its balance sheet.

A Different Perspective

We're pleased to report that Plexure Group shareholders have received a total shareholder return of 47% over one year. That gain is better than the annual TSR over five years, which is 19%. 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 Plexure Group better, we need to consider many other factors. Take risks, for example - Plexure Group has 5 warning signs (and 1 which shouldn't be ignored) we think you should know about.

But note: Plexure Group may not be the best stock to buy. So take a peek at this free list of interesting companies with past earnings growth (and further growth forecast).

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on NZ 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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