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- NYSE:VZIO
Investors in VIZIO Holding (NYSE:VZIO) from a year ago are still down 51%, even after 12% gain this past week
This month, we saw the VIZIO Holding Corp. (NYSE:VZIO) up an impressive 52%. But that isn't much consolation to those who have suffered through the declines of the last year. Specifically, the stock price slipped by 51% in that time. So the bounce should be viewed in that context. Arguably, the fall was overdone.
On a more encouraging note the company has added US$212m to its market cap in just the last 7 days, so let's see if we can determine what's driven the one-year loss for shareholders.
View our latest analysis for VIZIO Holding
Given that VIZIO Holding 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. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.
In just one year VIZIO Holding saw its revenue fall by 5.0%. That looks pretty grim, at a glance. The share price drop of 51% is understandable given the company doesn't have profits to boast of. Fingers crossed this is the low ebb for the stock. We don't generally like to own companies with falling revenues and no profits, so we're pretty cautious of this one, at the moment.
You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).
VIZIO Holding is a well known stock, with plenty of analyst coverage, suggesting some visibility into future growth. Given we have quite a good number of analyst forecasts, it might be well worth checking out this free chart depicting consensus estimates.
A Different Perspective
VIZIO Holding shareholders are down 51% for the year, even worse than the market loss of 11%. There's no doubt that's a disappointment, but the stock may well have fared better in a stronger market. Putting aside the last twelve months, it's good to see the share price has rebounded by 32%, in the last ninety days. Let's just hope this isn't the widely-feared 'dead cat bounce' (which would indicate further declines to come). 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 risks, for instance. Every company has them, and we've spotted 2 warning signs for VIZIO Holding you should know about.
But note: VIZIO Holding may not be the best stock to buy. So take a peek at this free list of interesting companies with past earnings growth (and further growth forecast).
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. 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.
About NYSE:VZIO
VIZIO Holding
Through its subsidiaries, provides smart televisions, sound bars, and accessories in the United States.
Flawless balance sheet with reasonable growth potential.