While INTEKPLUS Co., Ltd. (KOSDAQ:064290) shareholders are probably generally happy, the stock hasn't had particularly good run recently, with the share price falling 26% in the last quarter. Taking a longer term view we see the stock is up over one year. In that time, it is up 25%, which isn't bad, but is below the market return of 78%.
The past week has proven to be lucrative for INTEKPLUS investors, so let's see if fundamentals drove the company's one-year performance.
Because INTEKPLUS made a loss in the last twelve months, we think the market is probably more focussed on revenue and revenue growth, at least for now. When a company doesn't make profits, we'd generally hope to see good revenue growth. That's because it's hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.
INTEKPLUS actually shrunk its revenue over the last year, with a reduction of 14%. Given the revenue reduction the modest 25% share price rise over the year seems pretty decent. We'd want to see progress to profitability before getting too interested in this stock.
You can see how earnings and revenue have changed over time in the image below (click on the chart to see the exact values).
Balance sheet strength is crucial. It might be well worthwhile taking a look at our free report on how its financial position has changed over time.
INTEKPLUS shareholders are up 25% for 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 1.0% per year over five year. This suggests the company might be improving over time. You might want to assess this data-rich visualization of its earnings, revenue and cash flow.
We will like INTEKPLUS better if we see some big insider buys. While we wait, check out this free list of undervalued stocks (mostly small caps) 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 South Korean exchanges.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.