Pioneer Power Solutions (NASDAQ:PPSI) delivers shareholders stellar 104% return over 1 year, surging 16% in the last week alone

Unless you borrow money to invest, the potential losses are limited. But when you pick a company that is really flourishing, you can make more than 100%. Take, for example Pioneer Power Solutions, Inc. (NASDAQ:PPSI). Its share price is already up an impressive 104% in the last twelve months. Better yet, the share price has risen 16% in the last week. On the other hand, longer term shareholders have had a tougher run, with the stock falling 4.0% in three years.

The past week has proven to be lucrative for Pioneer Power Solutions investors, so let's see if fundamentals drove the company's one-year performance.

See our latest analysis for Pioneer Power Solutions

While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.

Pioneer Power Solutions went from making a loss to reporting a profit, in the last year.

We think the growth looks very prospective, so we're not surprised the market liked it too. Inflection points like this can be a great time to take a closer look at a company.

You can see below how EPS has changed over time (discover the exact values by clicking on the image).

We know that Pioneer Power Solutions has improved its bottom line over the last three years, but what does the future have in store? If you are thinking of buying or selling Pioneer Power Solutions stock, you should check out this FREE detailed report on its balance sheet.

A Different Perspective

It's good to see that Pioneer Power Solutions has rewarded shareholders with a total shareholder return of 104% in the last twelve months. That's better than the annualised return of 4% over half a decade, implying that the company is doing better recently. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. It's always interesting to track share price performance over the longer term. But to understand Pioneer Power Solutions better, we need to consider many other factors. For instance, we've identified 3 warning signs for Pioneer Power Solutions (1 is concerning) that you should be aware of.

We will like Pioneer Power Solutions better if we see some big insider buys. While we wait, check out this free list of growing companies 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.