Stock Analysis

Triocean Industrial Corporation's (TWSE:1472) 3,152% YoY earnings expansion surpassed the shareholder returns over the past year

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TWSE:1472

When you buy shares in a company, there is always a risk that the price drops to zero. On the other hand, if you find a high quality business to buy (at the right price) you can more than double your money! For example, the Triocean Industrial Corporation Co., Ltd. (TWSE:1472) share price has soared 192% return in just a single year. It's also good to see the share price up 32% over the last quarter. But this move may well have been assisted by the reasonably buoyant market (up 16% in 90 days). And shareholders have also done well over the long term, with an increase of 134% in the last three years.

Since it's been a strong week for Triocean Industrial Corporation shareholders, let's have a look at trend of the longer term fundamentals.

See our latest analysis for Triocean Industrial Corporation

There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. 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.

Triocean Industrial Corporation boasted truly magnificent EPS growth in the last year. This remarkable growth rate may not be sustainable, but it is still impressive. So we'd expect to see the share price higher. We're real advocates of letting inflection points like this guide our research as stock pickers.

You can see how EPS has changed over time in the image below (click on the chart to see the exact values).

TWSE:1472 Earnings Per Share Growth April 18th 2024

It might be well worthwhile taking a look at our free report on Triocean Industrial Corporation's earnings, revenue and cash flow.

A Different Perspective

It's nice to see that Triocean Industrial Corporation shareholders have received a total shareholder return of 192% over the last year. There's no doubt those recent returns are much better than the TSR loss of 5% per year over five years. We generally put more weight on the long term performance over the short term, but the recent improvement could hint at a (positive) inflection point within the business. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. For example, we've discovered 1 warning sign for Triocean Industrial Corporation that you should be aware of before investing here.

But note: Triocean Industrial Corporation 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 Taiwanese exchanges.

Valuation is complex, but we're here to simplify it.

Discover if Triocean Industrial Corporation might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.