Loss-making LiveVox Holdings (NASDAQ:LVOX) sheds a further US$54m, taking total shareholder losses to 73% over 1 year

Even the best investor on earth makes unsuccessful investments. But it should be a priority to avoid stomach churning catastrophes, wherever possible. So spare a thought for the long term shareholders of LiveVox Holdings, Inc. (NASDAQ:LVOX); the share price is down a whopping 73% in the last twelve months. While some investors are willing to stomach this sort of loss, they are usually professionals who spread their bets thinly. To make matters worse, the returns over three years have also been really disappointing (the share price is 72% lower than three years ago). Shareholders have had an even rougher run lately, with the share price down 44% in the last 90 days.

With the stock having lost 18% 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 LiveVox Holdings

LiveVox Holdings isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. 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.

LiveVox Holdings grew its revenue by 16% over the last year. We think that is pretty nice growth. However, it seems like the market wanted more, since the share price is down 73%. One fear might be that the company might be losing too much money and will need to raise more. We'd posit that the future looks challenging, given the disconnect between revenue growth and the share price.

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

We consider it positive that insiders have made significant purchases in the last year. Even so, future earnings will be far more important to whether current shareholders make money. If you are thinking of buying or selling LiveVox Holdings stock, you should check out this free report showing analyst profit forecasts.

A Different Perspective

The last twelve months weren't great for LiveVox Holdings shares, which performed worse than the market, costing holders 73%. The market shed around 10%, no doubt weighing on the stock price. Shareholders have lost 20% per year over the last three years, so the share price drop has become steeper, over the last year; a potential symptom of as yet unsolved challenges. We would be wary of buying into a company with unsolved problems, although some investors will buy into struggling stocks if they believe the price is sufficiently attractive. It's always interesting to track share price performance over the longer term. But to understand LiveVox Holdings better, we need to consider many other factors. To that end, you should be aware of the 3 warning signs we've spotted with LiveVox Holdings .

LiveVox Holdings is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

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

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.