Passive investing in index funds can generate returns that roughly match the overall market. But investors can boost returns by picking market-beating companies to own shares in. To wit, the Bowlero Corp. (NYSE:BOWL) share price is 80% higher than it was a year ago, much better than the market decline of around 8.5% (not including dividends) in the same period. That's a solid performance by our standards! Bowlero hasn't been listed for long, so it's still not clear if it is a long term winner.

Since it's been a strong week for Bowlero shareholders, let's have a look at trend of the longer term fundamentals.

View our latest analysis for Bowlero

Bowlero 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. Shareholders of unprofitable companies usually expect strong revenue growth. That's because it's hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.

Bowlero grew its revenue by 80% last year. That's a head and shoulders above most loss-making companies. While the share price gain of 80% 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 Bowlero. Since we evolved from monkeys, we think in linear terms by nature. So if growth goes exponential, opportunity may exist for the enlightened.

You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).

Take a more thorough look at Bowlero's financial health with this free report on its balance sheet.

A Different Perspective

Bowlero shareholders should be happy with the total gain of 80% over the last twelve months. We regret to report that the share price is down 1.7% over ninety days. It may simply be that the share price got ahead of itself, although there may have been fundamental developments that are weighing on it. If you would like to research Bowlero in more detail then you might want to take a look at whether insiders have been buying or selling shares in the company.

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 US 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.