Yahoo Finance dynaCERT (CVE:DYA) Shareholders Have Enjoyed An Impressive 244% Share Price Gain
dynaCERT Inc. (CVE:DYA) shareholders might be rather concerned because the share price has dropped 51% in the last month. But that doesn't change the fact that shareholders have received really good returns over the last five years. In fact, the share price is 244% higher today. To some, the recent pullback wouldn't be surprising after such a fast rise. Of course, that doesn't necessarily mean it's cheap now.
Check out our latest analysis for dynaCERT
We don't think dynaCERT's revenue of CA$235,350 is enough to establish significant demand. As a result, we think it's unlikely shareholders are paying much attention to current revenue, but rather speculating on growth in the years to come. It seems likely some shareholders believe that dynaCERT will significantly advance the business plan before too long.
We think companies that have neither significant revenues nor profits are pretty high risk. You should be aware that the company needed to issue more shares recently so that it could raise enough money to continue pursuing its business plan. While some companies like this go on to deliver on their plan, making good money for shareholders, many end in painful losses and eventual de-listing. dynaCERT has already given some investors a taste of the sweet gains that high risk investing can generate, if your timing is right.
dynaCERT had liabilities exceeding cash when it last reported, according to our data. That put it in the highest risk category, according to our analysis. So we're not surprised to see the stock up 66% per year, over 5 years , once the company took on some more capital. Investors must really like its potential. The image below shows how dynaCERT's balance sheet has changed over time; if you want to see the precise values, simply click on the image.
It can be extremely risky to invest in a company that doesn't even have revenue. There's no way to know its value easily. However you can take a look at whether insiders have been buying up shares. It's usually a positive if they have, as it may indicate they see value in the stock. Luckily we are in a position to provide you with this free chart of insider buying (and selling).
A Different Perspective
It's nice to see that dynaCERT shareholders have received a total shareholder return of 26% over the last year. However, that falls short of the 28% TSR per annum it has made for shareholders, each year, over five years. It's always interesting to track share price performance over the longer term. But to understand dynaCERT better, we need to consider many other factors. For example, we've discovered 6 warning signs for dynaCERT (3 are potentially serious!) that you should be aware of before investing here.
dynaCERT 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 CA exchanges.
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.
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. Thank you for reading.
