Yahoo Finance Did You Miss Prodigy Ventures's (CVE:PGV) 14% Share Price Gain?
Passive investing in index funds can generate returns that roughly match the overall market. But investors can boost returns by picking market-beating companies to own shares in. For example, the Prodigy Ventures Inc. (CVE:PGV) share price is up 14% in the last year, clearly besting the market return of around 4.1% (not including dividends). That's a solid performance by our standards! Having said that, the longer term returns aren't so impressive, with stock gaining just 5.0% in three years.
See our latest analysis for Prodigy Ventures
To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. 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.
During the last year Prodigy Ventures grew its earnings per share (EPS) by 71%. This EPS growth is significantly higher than the 14% increase in the share price. So it seems like the market has cooled on Prodigy Ventures, despite the growth. Interesting. Of course, with a P/E ratio of 79.64, the market remains optimistic.
The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image).
It might be well worthwhile taking a look at our free report on Prodigy Ventures's earnings, revenue and cash flow.
A Different Perspective
It's nice to see that Prodigy Ventures shareholders have gained 14% (in total) over the last year. And yes, that does include the dividend. That gain actually surpasses the 1.8% TSR it generated (per year) over three years. The improving returns to shareholders suggests the stock is becoming more popular with time. Before spending more time on Prodigy Ventures it might be wise to click here to see if insiders have been buying or selling shares.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on CA exchanges.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. 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. Simply Wall St has no position in the stocks mentioned. Thank you for reading.
