It might seem bad, but the worst that can happen when you buy a stock (without leverage) is that its share price goes to zero. But if you buy shares in a really great company, you can more than double your money. To wit, the Zhongtian Service Co., Ltd. (SZSE:002188) share price has flown 137% in the last three years. How nice for those who held the stock! Better yet, the share price has risen 31% in the last week.
The past week has proven to be lucrative for Zhongtian Service investors, so let's see if fundamentals drove the company's three-year performance.
View our latest analysis for Zhongtian Service
In his essay The Superinvestors of Graham-and-Doddsville Warren Buffett described how share prices do not always rationally reflect the value of a business. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price.
Zhongtian Service became profitable within the last three years. That kind of transition can be an inflection point that justifies a strong share price gain, just as we have seen here.
The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image).
SZSE:002188 Earnings Per Share Growth September 22nd 2022
This free interactive report on Zhongtian Service's earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further.
A Different Perspective
We're pleased to report that Zhongtian Service shareholders have received a total shareholder return of 96% over one year. There's no doubt those recent returns are much better than the TSR loss of 11% per year over five years. We generally put more weight on the long term performance over the short term, but the recent improvement could hint at a (positive) inflection point within the business. 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 be aware of the 2 warning signs we've spotted with Zhongtian Service .
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on CN 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.
這看起來可能很糟糕,但當你(在沒有槓桿的情況下)購買一隻股票時,最糟糕的情況可能是它的股價跌至零。但如果你購買一家真正偉大的公司的股票,你可以更多也不願讓你的錢翻倍。也就是説,中天服務有限公司(SZSE:002188)股價在過去三年裏飆升了137%。對於那些持有股票的人來説,這是多麼好的一件事!更好的是,該公司股價在上週上漲了31%。
過去一週對中天服務的投資者來説被證明是有利可圖的,所以讓我們看看基本面因素是否推動了該公司三年的業績。
查看我們對中天服務的最新分析
在他的文章中格雷厄姆和多德斯維爾的超級投資者沃倫·巴菲特描述了股價並不總是理性地反映一家企業的價值。評估圍繞一家公司的情緒變化的一個有缺陷但合理的方法是將每股收益(EPS)與股價進行比較。
中天服務在過去三年內實現了盈利。這種轉變可能是一個拐點,可以證明股價強勁上漲是合理的,就像我們在這裏看到的那樣。
下圖描述了EPS是如何隨着時間的推移而變化的(通過單擊圖像來揭示確切的值)。
深交所:2022年9月22日每股收益增長002188
這免費如果你想進一步調查中天服務的股票,那麼關於中天服務的收益、收入和現金流的互動報告是一個很好的起點。
不同的視角
我們很高興地報告,中天服務的股東在一年內獲得了96%的總股東回報。毫無疑問,最近的回報率遠遠好於TSR在過去五年中每年11%的損失。我們通常更看重短期的長期表現,但最近的改善可能暗示着業務內部出現(積極的)拐點。雖然值得考慮市場狀況對股價可能產生的不同影響,但還有其他更重要的因素。為此,您應該意識到2個警告標誌我們發現了中天服務公司。
如果你更願意看看另一家公司--一家財務狀況可能更好的公司--那麼不要錯過這一點免費已證明自己能夠實現盈利增長的公司名單。
請注意,本文引用的市場回報反映了目前在CN交易所交易的股票的市場加權平均回報。
對這篇文章有什麼反饋嗎?擔心內容嗎? 保持聯繫直接與我們聯繫。或者,也可以給編輯組發電子郵件,地址是implywallst.com。
本文由Simply Wall St.撰寫,具有概括性。我們僅使用不偏不倚的方法提供基於歷史數據和分析師預測的評論,我們的文章並不打算作為財務建議。它不構成買賣任何股票的建議,也沒有考慮你的目標或你的財務狀況。我們的目標是為您帶來由基本面數據驅動的長期重點分析。請注意,我們的分析可能不會將最新的對價格敏感的公司公告或定性材料考慮在內。Simply Wall St.對上述任何一隻股票都沒有持倉。