Century Communities (NYSE:CCS) Shareholders Have Enjoyed A Whopping 459% Share Price Gain

Active investing isn't easy, but for those that do it, the aim is to find the best companies to buy, and to profit handsomely. When you find (and hold) a big winner, you can markedly improve your finances. In the case of Century Communities, Inc. (NYSE:CCS), the share price is up an incredible 459% in the last year alone. On top of that, the share price is up 44% in about a quarter. And shareholders have also done well over the long term, with an increase of 102% in the last three years.

See our latest analysis for Century Communities

There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time.

Century Communities was able to grow EPS by 69% in the last twelve months. The share price gain of 459% certainly outpaced the EPS growth. This indicates that the market is now more optimistic about the stock.

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

It is of course excellent to see how Century Communities has grown profits over the years, but the future is more important for shareholders. Take a more thorough look at Century Communities' financial health with this free report on its balance sheet.

A Different Perspective

It's good to see that Century Communities has rewarded shareholders with a total shareholder return of 459% in the last twelve months. That gain is better than the annual TSR over five years, which is 29%. Therefore it seems like sentiment around the company has been positive lately. In the best case scenario, this may hint at some real business momentum, implying that now could be a great time to delve deeper. 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. Consider for instance, the ever-present spectre of investment risk. We've identified 3 warning signs with Century Communities , and understanding them should be part of your investment process.

If you like to buy stocks alongside management, then you might just love this free list of companies. (Hint: insiders have been buying them).

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