Did You Miss Exela Technologies' (NASDAQ:XELA) Impressive 185% Share Price Gain?

It's been a soft week for Exela Technologies, Inc. (NASDAQ:XELA) shares, which are down 12%. Despite this, the stock is a strong performer over the last year, no doubt about that. We're very pleased to report the share price shot up 185% in that time. So it may be that the share price is simply cooling off after a strong rise. More important, going forward, is how the business itself is going.

View our latest analysis for Exela Technologies

Given that Exela Technologies 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. Shareholders of unprofitable companies usually expect strong revenue growth. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.

Exela Technologies actually shrunk its revenue over the last year, with a reduction of 13%. We're a little surprised to see the share price pop 185% in the last year. It just goes to show the market doesn't always pay attention to the reported numbers. Of course, it could be that the market expected this revenue drop.

The company's revenue and earnings (over time) are depicted in the image below (click to see the exact numbers).

Take a more thorough look at Exela Technologies' financial health with this free report on its balance sheet.

A Different Perspective

It's nice to see that Exela Technologies shareholders have gained 185% (in total) over the last year. What is absolutely clear is that is far preferable to the dismal 22% average annual loss suffered over the last three years. We're generally cautious about putting too much weigh on shorter term data, but the recent improvement is definitely a positive. 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. Case in point: We've spotted 4 warning signs for Exela Technologies you should be aware of, and 3 of them shouldn't be ignored.

Of course Exela Technologies may not be the best stock to buy. So you may wish to see this free collection of growth stocks.

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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