Cooper-Standard Holdings (NYSE:CPS investor five-year losses grow to 71% as the stock sheds US$25m this past week

Some stocks are best avoided. We really hate to see fellow investors lose their hard-earned money. Imagine if you held Cooper-Standard Holdings Inc. (NYSE:CPS) for half a decade as the share price tanked 71%. The last week also saw the share price slip down another 10%.

With the stock having lost 10% in the past week, it's worth taking a look at business performance and seeing if there's any red flags.

View our latest analysis for Cooper-Standard Holdings

Cooper-Standard Holdings wasn't profitable in the last twelve months, it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). Arguably revenue is our next best option. When a company doesn't make profits, we'd generally hope to see good revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one would hope for good top-line growth to make up for the lack of earnings.

Over half a decade Cooper-Standard Holdings reduced its trailing twelve month revenue by 2.0% for each year. That's not what investors generally want to see. The share price fall of 11% (per year, over five years) is a stern reminder that money-losing companies are expected to grow revenue. We're generally averse to companies with declining revenues, but we're not alone in that. That is not really what the successful investors we know aim for.

You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).

If you are thinking of buying or selling Cooper-Standard Holdings stock, you should check out this FREE detailed report on its balance sheet.

A Different Perspective

Investors in Cooper-Standard Holdings had a tough year, with a total loss of 5.7%, against a market gain of about 24%. However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. However, the loss over the last year isn't as bad as the 11% per annum loss investors have suffered over the last half decade. We would want clear information suggesting the company will grow, before taking the view that the share price will stabilize. 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 instance, we've identified 2 warning signs for Cooper-Standard Holdings (1 is a bit unpleasant) that you should be aware of.

We will like Cooper-Standard Holdings better if we see some big insider buys. While we wait, check out this free list of undervalued stocks (mostly small caps) with considerable, recent, insider buying.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges.

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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.