BeiGene (NASDAQ:BGNE shareholders incur further losses as stock declines 3.9% this week, taking three-year losses to 51%

If you love investing in stocks you're bound to buy some losers. Long term BeiGene, Ltd. (NASDAQ:BGNE) shareholders know that all too well, since the share price is down considerably over three years. So they might be feeling emotional about the 51% share price collapse, in that time. And over the last year the share price fell 27%, so we doubt many shareholders are delighted.

With the stock having lost 3.9% in the past week, it's worth taking a look at business performance and seeing if there's any red flags.

Check out our latest analysis for BeiGene

Because BeiGene made a loss in the last twelve months, we think the market is probably more focussed on revenue and revenue growth, at least for now. Shareholders of unprofitable companies usually expect strong revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.

Over three years, BeiGene grew revenue at 43% per year. That is faster than most pre-profit companies. The share price has moved in quite the opposite direction, down 15% over that time, a bad result. This could mean hype has come out of the stock because the losses are concerning investors. When we see revenue growth, paired with a falling share price, we can't help wonder if there is an opportunity for those who are willing to dig deeper.

The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).

BeiGene is well known by investors, and plenty of clever analysts have tried to predict the future profit levels. So we recommend checking out this free report showing consensus forecasts

A Different Perspective

BeiGene shareholders are down 27% for the year, but the market itself is up 33%. Even the share prices of good stocks drop sometimes, but we want to see improvements in the fundamental metrics of a business, before getting too interested. On the bright side, long term shareholders have made money, with a gain of 3% per year over half a decade. If the fundamental data continues to indicate long term sustainable growth, the current sell-off could be an opportunity worth considering. Before spending more time on BeiGene it might be wise to click here to see if insiders have been buying or selling shares.

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 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.