The Mansion International Holdings (HKG:8456) Share Price Is Down 51% So Some Shareholders Are Wishing They Sold
The nature of investing is that you win some, and you lose some. Unfortunately, shareholders of Mansion International Holdings Limited (HKG:8456) have suffered share price declines over the last year. To wit the share price is down 51% in that time. Mansion International Holdings hasn't been listed for long, so although we're wary of recent listings that perform poorly, it may still prove itself with time. It's down 2.6% in the last seven days.
View our latest analysis for Mansion International Holdings
Mansion International Holdings isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.
Mansion International Holdings's revenue didn't grow at all in the last year. In fact, it fell 14%. That looks pretty grim, at a glance. In the absence of profits, it's not unreasonable that the share price fell 51%. Fingers crossed this is the low ebb for the stock. We don't generally like to own companies with falling revenues and no profits, so we're pretty cautious of this one, at the moment.
You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).
This free interactive report on Mansion International Holdings's balance sheet strength is a great place to start, if you want to investigate the stock further.
A Different Perspective
We doubt Mansion International Holdings shareholders are happy with the loss of 51% over twelve months. That falls short of the market, which lost 8.2%. That's disappointing, but it's worth keeping in mind that the market-wide selling wouldn't have helped. With the stock down 1.8% over the last three months, the market doesn't seem to believe that the company has solved all its problems. Given the relatively short history of this stock, we'd remain pretty wary until we see some strong business performance. It's always interesting to track share price performance over the longer term. But to understand Mansion International Holdings better, we need to consider many other factors. Consider for instance, the ever-present spectre of investment risk. We've identified 3 warning signs with Mansion International Holdings (at least 2 which are concerning) , and understanding them should be part of your investment process.
We will like Mansion International Holdings better if we see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on HK exchanges.
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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. Thank you for reading.
