Yahoo Finance Can You Imagine How TIL Logistics Group's (NZSE:TLL) Shareholders Feel About The 57% Share Price Increase?
If you want to compound wealth in the stock market, you can do so by buying an index fund. But if you pick the right individual stocks, you could make more than that. For example, the TIL Logistics Group Limited (NZSE:TLL) share price is up 57% in the last year, clearly besting the market return of around 15% (not including dividends). So that should have shareholders smiling. Zooming out, the stock is actually down 43% in the last three years.
View our latest analysis for TIL Logistics Group
While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just 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.
TIL Logistics Group went from making a loss to reporting a profit, in the last year.
When a company is just on the edge of profitability it can be well worth considering other metrics in order to more precisely gauge growth (and therefore understand share price movements).
Unfortunately TIL Logistics Group's fell 4.1% over twelve months. So using a snapshot of key business metrics doesn't give us a good picture of why the market is bidding up the stock.
You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).
If you are thinking of buying or selling TIL Logistics Group stock, you should check out this FREE detailed report on its balance sheet.
A Different Perspective
It's nice to see that TIL Logistics Group shareholders have gained 57% (in total) over the last year. That certainly beats the loss of about 12% per year over three years. It could well be that the business has turned around -- or else regained the confidence of investors. 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. Like risks, for instance. Every company has them, and we've spotted 3 warning signs for TIL Logistics Group (of which 1 is concerning!) you should know about.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of companies we expect will grow earnings.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on NZ exchanges.
This article by Simply Wall St is general in nature. 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.
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