I think it's fair to say that the possibility of finding a great multi-year winner is what motivates many investors. But if you hold the right stocks for the right amount of time, the rewards can be truly huge. for example, Console Energy Co., Ltd. (NYSE:CEIX) stock has soared 804% in three years. Meanwhile, the stock price is up 2.3% compared to a week ago. We love happy stories like this. The company should be really proud of its accomplishments.
It's also worth looking at the company's fundamentals here. That's because it helps determine whether long-term shareholder returns are consistent with the performance of the underlying business.
Check out our latest analysis for CONSOL Energy.
To paraphrase Benjamin Graham, in the short term the market is a voting machine, but in the long term it is a weighing machine. One imperfect but simple way to consider how the market perception of a company has changed is to compare the change in the earnings per share (EPS) with the share price movement.
During three years of stock price growth, CONSOL Energy went from a loss to a profit. Given the importance of this milestone, it's not too surprising that the stock price has risen significantly.
The image below shows how EPS has tracked over time (if you click on the image you can see greater detail).
Of course, it's great to see that CONSOL Energy has grown its profits over the years, but the future is more important to shareholders.this free This interactive report on CONSOL Energy's balance sheet strength is a great starting point, if you want to investigate the stock further.
What about total shareholder return (TSR)?
It would be disrespectful not to mention the differences with CONSOL Energy. Total shareholder return (TSR) and its stock price return. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital increases and spin-offs. His three-year TSR for CONSOL Energy was 869%, which exceeded the share price return because it paid dividends.
different perspective
We're pleased to report that CONSOL Energy shareholders have received a total shareholder return of 41% over one year. This is better than the 22% annualized return over the past five years, suggesting that the company has performed well of late. In the best-case scenario, this could signal real business momentum and suggest that now could be a great time to dig deeper. 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 discovered 1 warning sign for CONSOL Energy you should know.
If you want to buy stocks with management, you might like this free List of companies. (Hint: Insiders are buying them).
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges.
Valuation is complex, but we help make it simple.
Check out our comprehensive analysis to see if CONSOL Energy is potentially overvalued or undervalued. Fair value estimates, risks and caveats, dividends, insider trading, and financial health.
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This article by Simply Wall St is general in nature. We provide commentary using only unbiased methodologies, based on historical data and analyst forecasts, and articles are not intended to be financial advice. This is not a recommendation to buy or sell any stock, and does not take into account your objectives or financial situation. We aim to provide long-term, focused analysis based on fundamental data. Note that our analysis may not factor in the latest announcements or qualitative material from price-sensitive companies. Simply Wall St has no position in any stocks mentioned.
