The last three months have been tough on Crystal Clear Electronic Material Co., Ltd. (SZSE:300655) shareholders, who have seen the share price decline a rather worrying 31%. But that does not change the realty that the stock's performance has been terrific, over five years. In that time, the share price has soared some 422% higher! So it might be that some shareholders are taking profits after good performance. Only time will tell if there is still too much optimism currently reflected in the share price.

Since the long term performance has been good but there's been a recent pullback of 3.7%, let's check if the fundamentals match the share price.

Check out our latest analysis for Crystal Clear Electronic Material

There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.

Over half a decade, Crystal Clear Electronic Material managed to grow its earnings per share at 29% a year. This EPS growth is lower than the 39% average annual increase in the share price. This suggests that market participants hold the company in higher regard, these days. And that's hardly shocking given the track record of growth.

You can see below how EPS has changed over time (discover the exact values by clicking on the image).

We know that Crystal Clear Electronic Material has improved its bottom line over the last three years, but what does the future have in store? If you are thinking of buying or selling Crystal Clear Electronic Material stock, you should check out this FREE detailed report on its balance sheet.

What about the Total Shareholder Return (TSR)?

We've already covered Crystal Clear Electronic Material's share price action, but we should also mention its total shareholder return (TSR). Arguably the TSR is a more complete return calculation because it accounts for the value of dividends (as if they were reinvested), along with the hypothetical value of any discounted capital that have been offered to shareholders. Its history of dividend payouts mean that Crystal Clear Electronic Material's TSR of 435% over the last 5 years is better than the share price return.

A Different Perspective

It's good to see that Crystal Clear Electronic Material has rewarded shareholders with a total shareholder return of 21% in the last twelve months. Having said that, the five-year TSR of 40% a year, is even better. Potential buyers might understandably feel they've missed the opportunity, but it's always possible business is still firing on all cylinders. 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. Case in point: We've spotted 3 warning signs for Crystal Clear Electronic Material you should be aware of.

Of course Crystal Clear Electronic Material may not be the best stock to buy. So you may wish to see this free collection of growth stocks.

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