Investors Who Bought Foresee Pharmaceuticals (GTSM:6576) Shares A Year Ago Are Now Up 41%

Foresee Pharmaceuticals Co., Ltd. (GTSM:6576) shareholders have seen the share price descend 12% over the month. But looking back over the last year, the returns have actually been rather pleasing! Looking at the full year, the company has easily bested an index fund by gaining 41%.

See our latest analysis for Foresee Pharmaceuticals

Given that Foresee Pharmaceuticals 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. That's because fast revenue growth can be easily extrapolated to forecast profits, often of considerable size.

In the last year Foresee Pharmaceuticals saw its revenue shrink by 36%. The stock is up 41% in that time, a fine performance given the revenue drop. We can correlate the share price rise with revenue or profit growth, but it seems the market had previously expected weaker results, and sentiment around the stock is improving.

The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).

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

A Different Perspective

It's nice to see that Foresee Pharmaceuticals shareholders have gained 41% (in total) over the last year. That gain actually surpasses the 11% TSR it generated (per year) over three years. The improving returns to shareholders suggests the stock is becoming more popular with time. It's always interesting to track share price performance over the longer term. But to understand Foresee Pharmaceuticals better, we need to consider many other factors. Consider for instance, the ever-present spectre of investment risk. We've identified 3 warning signs with Foresee Pharmaceuticals , and understanding them should be part of your investment process.

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 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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