When you buy a stock, there is always a 100% chance it will go down. But on a lighter note, stocks of great companies can see him rise well over 100%. for example, Africa Israel Residences Limited (TLV:AFRE) stock has surged 113% over the past five years. Most people will be very happy with it. Even better, the stock was up 10% last week.
The stock has added £191m in market cap in the past week alone, so let’s see if underlying performance is driving long-term returns.
Read our latest analysis on Africa Israel Residences.
To quote Buffett, “Ships sail the world, but the Flat Earth Society thrives. There will continue to be a great discrepancy between price and value in the market…” One imperfect but simple way to look at how perceptions have changed is to compare changes in earnings per share (EPS) to stocks. price movement.
During the five-year stock market run, Africa Israel Residences delivered compound earnings per share (EPS) growth of 12% annually. This EPS growth is lower than the stock’s average annual increase of 16%. This suggests that market participants hold the company in higher regard these days. And given its track record of growth, it’s not surprising.
Here’s how the EPS changed over time (click the image to see the exact values).
Take a closer look at Africa Israel Residences’ key metrics by checking interactive graphs of Africa Israel Residences’ earnings, earnings and cash flow.
Dividend
When looking at return on investment, it’s important to consider the following differences: Total shareholder return (TSR) and stock price returnTSR incorporates the value of spin-off or discounted capital raising along with dividends, based on the assumption that dividends are reinvested. It’s no exaggeration to say that the TSR provides a more complete picture of dividend-paying stocks. As it happens, Africa Israel Residences has a TSR of 173% over the past five years, beating the aforementioned stock return. This is primarily a result of dividend payments!
another point of view
While it’s disappointing that Africa Israel Residences has lost 16% over the last 12 months, the broader market has actually deteriorated, resulting in an 18% loss. Of course, long-term returns are much more important, and the good news is that they have returned 22% annually over five years. The business may only be facing short-term problems, but shareholders should pay attention to the fundamentals. It’s always interesting to track stock performance over the long term. However, many other factors must be considered to better understand Israeli dwellings in Africa. To do so, you should be aware of the following: three warning signs I found Africa Israel Residences.
If you like buying stocks with management, you might like this one freedom company list. (Hint: Insiders are buying).
Please note that the market returns quoted in this article reflect the market-weighted average returns of stocks currently traded on the IL exchange.
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find out if Africa Israel Residences You may be overestimated or underestimated by checking out our comprehensive analysis including: Fair value estimates, risks and warnings, dividends, insider trading and financial health.
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This article by Simply Wall St is general in nature. We provide comments based on historical data and analyst projections using only unbiased methodologies and our articles are not intended as financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. We aim to deliver long-term focused analysis based on fundamental data. Please note that our analysis may not take into account the latest price-sensitive company announcements or qualitative materials. Is not …
