If You Had Bought Filling and Packing Materials Manufacturing (TADAWUL:2180) Shares Three Years Ago You'd Have Earned 105% Returns

The worst result, after buying shares in a company (assuming no leverage), would be if you lose all the money you put in. But in contrast you can make much more than 100% if the company does well. To wit, the Filling and Packing Materials Manufacturing Company (TADAWUL:2180) share price has flown 105% in the last three years. How nice for those who held the stock! Also pleasing for shareholders was the 17% gain in the last three months.

View our latest analysis for Filling and Packing Materials Manufacturing

Given that Filling and Packing Materials Manufacturing 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. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.

Filling and Packing Materials Manufacturing's revenue trended up 5.3% each year over three years. That's not a very high growth rate considering it doesn't make profits. In contrast, the stock has popped 27% per year in that time - an impressive result. Shareholders should be pretty happy with that, although interested investors might want to examine the financial data more closely to see if the gains are really justified. It may be that the market is pretty optimistic about Filling and Packing Materials Manufacturing if you look to the bottom line.

The company's revenue and earnings (over time) are depicted in the image below (click to see the exact numbers).

This free interactive report on Filling and Packing Materials Manufacturing's balance sheet strength is a great place to start, if you want to investigate the stock further.

A Different Perspective

It's good to see that Filling and Packing Materials Manufacturing has rewarded shareholders with a total shareholder return of 82% in the last twelve months. That gain is better than the annual TSR over five years, which is 15%. 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. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. For example, we've discovered 2 warning signs for Filling and Packing Materials Manufacturing that you should be aware of before investing here.

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

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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