The Intracom Holdings (ATH:INTRK) Share Price Has Gained 69% And Shareholders Are Hoping For More

By buying an index fund, you can roughly match the market return with ease. But if you pick the right individual stocks, you could make more than that. For example, the Intracom Holdings S.A. (ATH:INTRK) share price is up 69% in the last three years, clearly besting the market return of around 46% (not including dividends). However, more recent returns haven't been as impressive as that, with the stock returning just 19% in the last year.

See our latest analysis for Intracom Holdings

Given that Intracom Holdings didn't make a profit in the last twelve months, we'll focus on revenue growth to form a quick view of its business development. When a company doesn't make profits, we'd generally expect to see good 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 3 years Intracom Holdings saw its revenue grow at 7.7% per year. That's not a very high growth rate considering it doesn't make profits. The modest growth is probably broadly reflected in the share price, which is up 19%, per year over 3 years. Ultimately, the important thing is whether the company is trending to profitability. In this sort of situation it can be worth putting the stock on your watchlist. If it can become profitable, then even moderate revenue growth could grow profits quickly.

You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).

ATSE:INTRK Income Statement, November 15th 2019
ATSE:INTRK Income Statement, November 15th 2019

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

A Different Perspective

Intracom Holdings shareholders gained a total return of 19% during the year. But that return falls short of the market. The silver lining is that the gain was actually better than the average annual return of 4.8% per year over five year. This suggests the company might be improving over time. You could get a better understanding of Intracom Holdings's growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Of course Intracom Holdings may not be the best stock to buy. So you may wish to see this free collection of growth stocks.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on GR exchanges.

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.

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. Thank you for reading.