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The Hudbay Minerals (TSE:HBM) Share Price Is Up 127% And Shareholders Are Boasting About It

The worst result, after buying shares in a company (assuming no leverage), would be if you lose all the money you put in. But in contrast you can make much more than 100% if the company does well. For example, the Hudbay Minerals Inc. (TSE:HBM) share price has soared 127% in the last three years. That sort of return is as solid as granite. On top of that, the share price is up 45% in about a quarter.

Check out our latest analysis for Hudbay Minerals

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.

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Hudbay Minerals became profitable within the last three years. Given the importance of this milestone, it's not overly surprising that the share price has increased strongly.

The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers).

TSX:HBM Past and Future Earnings, April 10th 2019
TSX:HBM Past and Future Earnings, April 10th 2019

We like that insiders have been buying shares in the last twelve months. Having said that, most people consider earnings and revenue growth trends to be a more meaningful guide to the business. This free interactive report on Hudbay Minerals's earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further.

A Different Perspective

Hudbay Minerals's TSR for the year was broadly in line with the market average, at 7.5%. Most would be happy with a gain, and it helps that the year's return is actually better than the average return over five years, which was 3.1%. It is possible that management foresight will bring growth well into the future, even if the share price slows down. Investors who like to make money usually check up on insider purchases, such as the price paid, and total amount bought. You can find out about the insider purchases of Hudbay Minerals by clicking this link.

Hudbay Minerals 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.

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.