Infoline Tec Group Berhad's (KLSE:INFOTEC) investors will be pleased with their solid 114% return over the last year

The most you can lose on any stock (assuming you don't use leverage) is 100% of your money. But when you pick a company that is really flourishing, you can make more than 100%. For example, the Infoline Tec Group Berhad (KLSE:INFOTEC) share price has soared 108% return in just a single year. The last week saw the share price soften some 1.3%. Infoline Tec Group Berhad hasn't been listed for long, so it's still not clear if it is a long term winner.

So let's investigate and see if the longer term performance of the company has been in line with the underlying business' progress.

See our latest analysis for Infoline Tec Group Berhad

To quote Buffett, 'Ships will sail around the world but the Flat Earth Society will flourish. There will continue to be wide discrepancies between price and value in the marketplace...' One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS).

Infoline Tec Group Berhad was able to grow EPS by 102% in the last twelve months. We note that the earnings per share growth isn't far from the share price growth (of 108%). This makes us think the market hasn't really changed its sentiment around the company, in the last year. It makes intuitive sense that the share price and EPS would grow at similar rates.

The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers).

earnings-per-share-growth
KLSE:INFOTEC Earnings Per Share Growth August 10th 2023

It might be well worthwhile taking a look at our free report on Infoline Tec Group Berhad's earnings, revenue and cash flow.

What About Dividends?

It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. Arguably, the TSR gives a more comprehensive picture of the return generated by a stock. We note that for Infoline Tec Group Berhad the TSR over the last 1 year was 114%, which is better than the share price return mentioned above. The dividends paid by the company have thusly boosted the total shareholder return.

A Different Perspective

Infoline Tec Group Berhad shareholders should be happy with the total gain of 114% over the last twelve months, including dividends. We regret to report that the share price is down 1.9% over ninety days. Shorter term share price moves often don't signify much about the business itself. It's always interesting to track share price performance over the longer term. But to understand Infoline Tec Group Berhad better, we need to consider many other factors. Take risks, for example - Infoline Tec Group Berhad has 3 warning signs (and 1 which makes us a bit uncomfortable) we think you should know about.