Stock Analysis

Shihlin Paper (TPE:1903) Shareholders Booked A 90% Gain In The Last Five Years

TWSE:1903
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Shihlin Paper Corporation (TPE:1903) shareholders have seen the share price descend 13% over the month. On the bright side the share price is up over the last half decade. In that time, it is up 90%, which isn't bad, but is below the market return of 105%.

See our latest analysis for Shihlin Paper

Because Shihlin Paper made a loss in the last twelve months, we think the market is probably more focussed on revenue and revenue growth, at least for now. Shareholders of unprofitable companies usually expect strong revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.

In the last 5 years Shihlin Paper saw its revenue shrink by 1.7% per year. Even though revenue hasn't increased, the stock actually gained 14%, per year, during the same period. To us that suggests that there probably isn't a lot of correlation between the past revenue performance and the share price, but a closer look at analyst forecasts and the bottom line may well explain a lot.

You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).

earnings-and-revenue-growth
TSEC:1903 Earnings and Revenue Growth December 22nd 2020

You can see how its balance sheet has strengthened (or weakened) over time in this free interactive graphic.

A Different Perspective

We're pleased to report that Shihlin Paper shareholders have received a total shareholder return of 76% over one year. That gain is better than the annual TSR over five years, which is 14%. Therefore it seems like sentiment around the company has been positive lately. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. You could get a better understanding of Shihlin Paper's growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

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 TW 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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