It's nice to see the Nanjing Sciyon Wisdom Technology Group Co., Ltd. (SZSE:002380) share price up 18% in a week. But that doesn't change the fact that the returns over the last year have been less than pleasing. The cold reality is that the stock has dropped 23% in one year, under-performing the market.

On a more encouraging note the company has added CN¥557m to its market cap in just the last 7 days, so let's see if we can determine what's driven the one-year loss for shareholders.

While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. 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.

Nanjing Sciyon Wisdom Technology Group fell to a loss making position during the year. While this may prove temporary, we'd consider it a negative, so it doesn't surprise us that the stock price is down. We hope for shareholders' sake that the company becomes profitable again soon.

The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image).

Dive deeper into Nanjing Sciyon Wisdom Technology Group's key metrics by checking this interactive graph of Nanjing Sciyon Wisdom Technology Group's earnings, revenue and cash flow.

A Different Perspective

While the broader market lost about 16% in the twelve months, Nanjing Sciyon Wisdom Technology Group shareholders did even worse, losing 23%. However, it could simply be that the share price has been impacted by broader market jitters. It might be worth keeping an eye on the fundamentals, in case there's a good opportunity. On the bright side, long term shareholders have made money, with a gain of 4% per year over half a decade. It could be that the recent sell-off is an opportunity, so it may be worth checking the fundamental data for signs of a long term growth trend. It's always interesting to track share price performance over the longer term. But to understand Nanjing Sciyon Wisdom Technology Group better, we need to consider many other factors. Even so, be aware that Nanjing Sciyon Wisdom Technology Group is showing 1 warning sign in our investment analysis , you should know about...

But note: Nanjing Sciyon Wisdom Technology Group 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 Chinese 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.