Yahoo Finance EMVision Medical Devices (ASX:EMV) delivers shareholders 12% return over 1 year, surging 20% in the last week alone
Passive investing in index funds can generate returns that roughly match the overall market. But one can do better than that by picking better than average stocks (as part of a diversified portfolio). To wit, the EMVision Medical Devices Ltd (ASX:EMV) share price is 12% higher than it was a year ago, much better than the market decline of around 0.8% (not including dividends) in the same period. That's a solid performance by our standards! Unfortunately the longer term returns are not so good, with the stock falling 12% in the last three years.
The past week has proven to be lucrative for EMVision Medical Devices investors, so let's see if fundamentals drove the company's one-year performance.
View our latest analysis for EMVision Medical Devices
EMVision Medical Devices wasn't profitable in the last twelve months, it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). Arguably revenue is our next best option. When a company doesn't make profits, we'd generally expect to see good revenue growth. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.
In the last year EMVision Medical Devices saw its revenue grow by 68%. That's stonking growth even when compared to other loss-making stocks. While the share price gain of 12% over twelve months is pretty tasty, you might argue it doesn't fully reflect the strong revenue growth. If that's the case, now might be the time to take a close look at EMVision Medical Devices. Since we evolved from monkeys, we think in linear terms by nature. So if growth goes exponential, opportunity may exist for the enlightened.
The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).
Take a more thorough look at EMVision Medical Devices' financial health with this free report on its balance sheet.
A Different Perspective
We're pleased to report that EMVision Medical Devices rewarded shareholders with a total shareholder return of 12% over the last year. What is absolutely clear is that is far preferable to the dismal 4% 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. It's always interesting to track share price performance over the longer term. But to understand EMVision Medical Devices better, we need to consider many other factors. Even so, be aware that EMVision Medical Devices is showing 3 warning signs in our investment analysis , and 1 of those is significant...
If you like to buy stocks alongside management, then you might just love this free list of companies. (Hint: insiders have been buying them).
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Australian 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.
