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The one-year earnings decline has likely contributed toCerberus Cyber Sentinel's (NASDAQ:CISO) shareholders losses of 63% over that period

The nature of investing is that you win some, and you lose some. Anyone who held Cerberus Cyber Sentinel Corporation (NASDAQ:CISO) over the last year knows what a loser feels like. To wit the share price is down 63% in that time. Cerberus Cyber Sentinel may have better days ahead, of course; we've only looked at a one year period. Even worse, it's down 46% in about a month, which isn't fun at all.

After losing 30% this past week, it's worth investigating the company's fundamentals to see what we can infer from past performance.

View our latest analysis for Cerberus Cyber Sentinel

Given that Cerberus Cyber Sentinel 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. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. That's because fast revenue growth can be easily extrapolated to forecast profits, often of considerable size.

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In the last year Cerberus Cyber Sentinel saw its revenue grow by 151%. That's a strong result which is better than most other loss making companies. In contrast the share price is down 63% over twelve months. Yes, the market can be a fickle mistress. This could mean hype has come out of the stock because the bottom line is concerning investors. We'd definitely consider it a positive if the company is trending towards profitability. If you can see that happening, then perhaps consider adding this stock to your watchlist.

The graphic below depicts how earnings and revenue have changed over time (unveil the exact values by clicking on the image).

earnings-and-revenue-growth
earnings-and-revenue-growth

We're pleased to report that the CEO is remunerated more modestly than most CEOs at similarly capitalized companies. But while CEO remuneration is always worth checking, the really important question is whether the company can grow earnings going forward. This free interactive report on Cerberus Cyber Sentinel's earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further.

A Different Perspective

We doubt Cerberus Cyber Sentinel shareholders are happy with the loss of 63% over twelve months. That falls short of the market, which lost 20%. That's disappointing, but it's worth keeping in mind that the market-wide selling wouldn't have helped. The share price decline has continued throughout the most recent three months, down 41%, suggesting an absence of enthusiasm from investors. Basically, most investors should be wary of buying into a poor-performing stock, unless the business itself has clearly improved. 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. To that end, you should learn about the 4 warning signs we've spotted with Cerberus Cyber Sentinel (including 2 which are significant) .

But note: Cerberus Cyber Sentinel may not be the best stock to buy. So take a peek at this free list of interesting companies with past earnings growth (and further growth forecast).

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US exchanges.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.