The Aljazira Takaful Ta’awuni (TADAWUL:8012) Share Price Is Up 99% And Shareholders Are Holding On

The simplest way to invest in stocks is to buy exchange traded funds. But if you pick the right individual stocks, you could make more than that. For example, the Aljazira Takaful Ta’awuni Company (TADAWUL:8012) share price is up 99% in the last year, clearly besting the market return of around 26% (not including dividends). That's a solid performance by our standards! However, the longer term returns haven't been so impressive, with the stock up just 4.6% in the last three years.

Check out our latest analysis for Aljazira Takaful Ta’awuni

To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price.

During the last year Aljazira Takaful Ta’awuni grew its earnings per share (EPS) by 26%. The share price gain of 99% certainly outpaced the EPS growth. So it's fair to assume the market has a higher opinion of the business than it a year ago.

The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image).

This free interactive report on Aljazira Takaful Ta’awuni's earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further.

A Different Perspective

It's good to see that Aljazira Takaful Ta’awuni has rewarded shareholders with a total shareholder return of 99% in the last twelve months. That certainly beats the loss of about 3% per year over the last half decade. This makes us a little wary, but the business might have turned around its fortunes. It's always interesting to track share price performance over the longer term. But to understand Aljazira Takaful Ta’awuni better, we need to consider many other factors. Take risks, for example - Aljazira Takaful Ta’awuni has 1 warning sign we think you should be aware of.

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

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