These days it's easy to simply buy an index fund, and your returns should (roughly) match the market. But you can significantly boost your returns by picking above-average stocks. To wit, the ADL Bionatur Solutions, S.A. (BME:ADL) share price is 13% higher than it was a year ago, much better than the market return of around 5.0% (not including dividends) in the same period. So that should have shareholders smiling. We'll need to follow ADL Bionatur Solutions for a while to get a better sense of its share price trend, since it hasn't been listed for particularly long.

See our latest analysis for ADL Bionatur Solutions

ADL Bionatur Solutions 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. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.

In the last year ADL Bionatur Solutions saw its revenue grow by 129%. That's a head and shoulders above most loss-making companies. While the share price gain of 13% over twelve months is pretty tasty, you might argue it doesn't fully reflect the strong revenue growth. So quite frankly it could be a good time to investigate ADL Bionatur Solutions in some detail. Human beings have trouble conceptualizing (and valuing) exponential growth. Is that what we're seeing here?

The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).

If you are thinking of buying or selling ADL Bionatur Solutions stock, you should check out this FREE detailed report on its balance sheet.

A Different Perspective

It's nice to see that ADL Bionatur Solutions shareholders have gained 13% over the last year. A substantial portion of that gain has come in the last three months, with the stock up 3.7% in that time. Demand for the stock from multiple parties is pushing the price higher; it could be that word is getting out about its virtues as a business. 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. For instance, we've identified 2 warning signs for ADL Bionatur Solutions (1 shouldn't be ignored) that you should be aware of.

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 ES exchanges.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. 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. Simply Wall St has no position in the stocks mentioned.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Thank you for reading.