The ACON Holding (GTSM:3710) Share Price Has Gained 74% And Shareholders Are Hoping For More

Passive investing in index funds can generate returns that roughly match the overall market. But if you pick the right individual stocks, you could make more than that. For example, the ACON Holding Inc. (GTSM:3710) share price is up 74% in the last year, clearly besting the market return of around 45% (not including dividends). That's a solid performance by our standards! And shareholders have also done well over the long term, with an increase of 58% in the last three years.

View our latest analysis for ACON Holding

ACON Holding isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. Shareholders of unprofitable companies usually expect strong revenue growth. That's because it's hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.

ACON Holding grew its revenue by 9.5% last year. That's not a very high growth rate considering it doesn't make profits. In keeping with the revenue growth, the share price gained 74% in that time. While not a huge gain tht seems pretty reasonable. It could be worth keeping an eye on this one, especially if growth accelerates.

The graphic below depicts how earnings and revenue have changed over time (unveil the exact values by clicking on the image).

This free interactive report on ACON Holding's balance sheet strength is a great place to start, if you want to investigate the stock further.

A Different Perspective

Pleasingly, ACON Holding's total shareholder return last year was 74%. That's better than the annualized TSR of 16% over the last three years. The improving returns to shareholders suggests the stock is becoming more popular with time. 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. Case in point: We've spotted 4 warning signs for ACON Holding you should be aware of, and 2 of them shouldn't be ignored.

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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