LON:AZN) shareholders have enjoyed a 86% share price rise over the last half decade, well in excess of the market decline of around 8.6% (not including dividends). However, more recent returns haven’t been as impressive as that, with the stock returning just 17% in the last year , including dividends .” data-reactid=”28″>Stock pickers are generally looking for stocks that will outperform the broader market. And the truth is, you can make significant gains if you buy good quality businesses at the right price. For example, long term AstraZeneca PLC (LON:AZN) shareholders have enjoyed a 86% share price rise over the last half decade, well in excess of the market decline of around 8.6% (not including dividends). However, more recent returns haven’t been as impressive as that, with the stock returning just 17% in the last year , including dividends .
View our latest analysis for AstraZeneca ” data-reactid=”29″> View our latest analysis for AstraZeneca
During five years of share price growth, AstraZeneca achieved compound earnings per share (EPS) growth of 12% per year. So the EPS growth rate is rather close to the annualized share price gain of 13% per year. Therefore one could conclude that sentiment towards the shares hasn’t morphed very much. Rather, the share price has approximately tracked EPS growth.
The company’s earnings per share (over time) is depicted in the image below (click to see the exact numbers).
earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further.” data-reactid=”49″>This free interactive report on AstraZeneca’s earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further.
What About Dividends?
A Different Perspective
3 warning signs for AstraZeneca you should be aware of, and 1 of them doesn’t sit too well with us.” data-reactid=”53″>It’s good to see that AstraZeneca has rewarded shareholders with a total shareholder return of 17% in the last twelve months. And that does include the dividend. Having said that, the five-year TSR of 18% a year, is even better. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. Case in point: We’ve spotted 3 warning signs for AstraZeneca you should be aware of, and 1 of them doesn’t sit too well with us.
list of companies. (Hint: insiders have been buying them).” data-reactid=”54″>If you like to buy stocks alongside management, then you might just love this free list of companies. (Hint: insiders have been buying them).
Get in touch with us directly. Alternatively, email [email protected].” data-reactid=”56″>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.
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