The 17% return this week takes Elsight's (ASX:ELS) shareholders five-year gains to 116%
The past week has proven to be lucrative for Elsight investors, so let's see if fundamentals drove the company's five-year performance.
Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit.
Given that Elsight 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 hope to see good revenue growth. That's because fast revenue growth can be easily extrapolated to forecast profits, often of considerable size.
In the last 5 years Elsight saw its revenue grow at 10% per year. That's a fairly respectable growth rate. Broadly speaking, this solid progress may well be reflected by the healthy share price gain of 16% per year over five years. It's well worth monitoring the growth trend in revenue, because if growth accelerates, that might signal an opportunity. When a growth trend accelerates, be it in revenue or earnings, it can indicate an inflection point for the business, which is can often be an opportunity for investors.
You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).
This free interactive report on Elsight's balance sheet strength is a great place to start, if you want to investigate the stock further.
We've already covered Elsight's share price action, but we should also mention its total shareholder return (TSR). Arguably the TSR is a more complete return calculation because it accounts for the value of dividends (as if they were reinvested), along with the hypothetical value of any discounted capital that have been offered to shareholders. Elsight hasn't been paying dividends, but its TSR of 116% exceeds its share price return of 111%, implying it has either spun-off a business, or raised capital at a discount; thereby providing additional value to shareholders.
We're pleased to report that Elsight shareholders have received a total shareholder return of 65% over one year. That gain is better than the annual TSR over five years, which is 17%. Therefore it seems like sentiment around the company has been positive lately. Someone with an optimistic perspective could view the recent improvement in TSR as indicating that the business itself is getting better with time. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Case in point: We've spotted 4 warning signs for Elsight you should be aware of, and 1 of them can't be ignored.
For those who like to find winning investments this free list of undervalued companies with recent insider purchasing, could be just the ticket.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Australian exchanges.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.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.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Newsweek
15 minutes ago
- Newsweek
Trump's Pick To Oversee Social Security COLA Says 'Need To Sunset' Program
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. President Donald Trump's pick for commissioner of the Bureau of Labor Statistics has argued for "sunsetting" Social Security, calling it a "Ponzi scheme." Trump nominated Heritage Foundation economist E.J. Antoni to lead the BLS less than two weeks after firing the agency's former commissioner, Erika McEntarfer, in response to weaker-than-expected job numbers. The dismissal has fueled concerns that upcoming BLS reports could be altered to advance Trump's political agenda. Newsweek has contacted Antoni for comment via his profile on the Heritage Foundation's website. Why It Matters Social Security provides benefits to more than 70 million Americans every month, paying out retirement, survivor and disability benefits. Often referred to as the "third rail" of American politics for its enduring popularity, advocating against the program is considered politically perilous to members of either party. The BLS is the federal agency responsible for producing essential inflation data, including the Consumer Price Index for Urban Wage Earners and Clerical Workers—the official index used to calculate Social Security Cost of Living Adjustments. As commissioner, Antoni would oversee how that data is produced and published. President Donald Trump listens to questions from reporters after speaking on economic data in the Oval Office in Washington, D.C., on August 7. President Donald Trump listens to questions from reporters after speaking on economic data in the Oval Office in Washington, D.C., on August 7. Win McNamee/GETTY What To Know Speaking on KTRH's Houston's Morning News in December, Antoni said Social Security was set up as a "Ponzi scheme" where "today's investors are—their funds are being used to pay yesterday's investors." A Ponzi scheme is a fraudulent investment setup where money from new investors is used to pay existing ones. Social Security payments are financed from a dedicated payroll tax collected from current workers. Any excess that is not used is kept in dedicated trust funds: the Old-Age and Survivors Insurance trust fund and the Disability Insurance trust fund. These trust funds are scheduled to reach depletion in 2034 unless Congress acts, according to the 2025 Social Security Trustees report. "And unless you are going to grow the number of investors at an exponential rate, that system is eventually going to collapse. Well, since we can't grow the workforce at an exponential rate, especially today when our population is actually in a state of decline, you're not going to be able to sustain a Ponzi scheme like Social Security," Antoni continued. "Eventually you need to sunset the program." Antoni said current benefits need not be touched, but future retirees should not rely on the program. He advocated for transitioning to a system that uses private accounts "for just them." "There's plenty of money available to pay for folks who are already retired," he said. "But the people who are going to retire 10, 20, even 30, or certainly 40 years from now—I'm sorry, but the program is not going to be viable at that time." Antoni argued for "some kind of transition program where, unfortunately, you'll need a generation of people who pay Social Security taxes but never actually receive any of those benefits," he continued. "And that sounds harsh, but unfortunately that's the price to pay for unwinding a Ponzi scheme that was foisted on the American people by the Democrats in the 1930s." Who Is E.J. Antoni? Antoni is the chief economist for the conservative think tank the Heritage Foundation, which published Project 2025. According to his bio on its website, he was previously "an economist at Texas Public Policy Foundation and has taught courses ranging from labor economics to money and banking." He also holds master's and doctoral degrees in economics. Writing on Truth Social regarding Antoni's appointment to the BLS, Trump said, "E.J. will ensure that the Numbers released are HONEST and ACCURATE." In a statement on X, Labor Secretary Lori Chavez-DeRemer said Antoni would "provide the American people with fair and accurate economic data they can rely on." What People Are Saying White House assistant press secretary Taylor Rogers told Newsweek: "President Trump selected Dr. E.J. Antoni III to restore America's trust in the jobs data that has had major issues, without any real attempt at resolution, for years. Antoni's education and vast experience as an economist has prepared him to produce accurate public data for businesses, households, and policymakers to inform their decision-making." Democratic Representative John B. Larson of Connecticut said in a news release on August 11: "It should alarm everyone when a yes-man determined to end Social Security is installed in this position. I call on every Senate Republican to stand with Democrats and reject this extreme nominee—before our seniors are denied the benefits they earned through a lifetime of hard work." Jason Furman, a Harvard economist and former chair of Barack Obama's Council of Economic Advisers, posted on X: "I don't think I have ever publicly criticized any Presidential nominee before. But E.J. Antoni is completely unqualified to be BLS Commissioner. He is an extreme partisan and does not have any relevant expertise. He would be a break from decades of nonpartisan technocrats." What Happens Next It remains to be seen whether the Senate will confirm Antoni's nomination to lead the BLS, which is an independent agency under the Labor Department.
The Hill
17 minutes ago
- The Hill
Bessent calls for steep interest rate cuts
Treasury Secretary Scott Bessent said Wednesday that short term interest rates should be 1.5 to 1.75 percentage points lower than their current level, keeping up the administration's pressure campaign on the Federal Reserve. Bessent called for a half-point reduction in September at the next meeting of the Fed's interest rate-setting committee, starting a series of cuts that would lower rates substantially below their current level of 4.25 to 4.5 percent. 'We could go into a series of rate cuts here, starting with a 50 basis point rate cut in September,' he said on the Bloomberg News television network. 'We should probably be 150, 175 lower. I think the committee needs to step back.' Bessent's remarks were his clearest yet on what should happen with short-term interest rates. Treasury secretaries, which handles debt issuance and tax collection, don't traditionally weigh in on monetary policy, which is left to the Fed. While Bessent has called the Fed's independence on monetary policy a 'jewel box' not to be tampered with, he has also joined President Trump and other administration officials in criticizing the bank's handling of interest rates. Trump has been calling for interest rate cuts since the beginning of the year and has nicknamed Fed Chair Jerome Powell 'Too Late' due to his reluctance to begin cuts this year and the bank's sluggish response to post-pandemic inflation. The Fed has kept interbank lending rates at an effective level of 4.33 percent since January after making three cuts in the back half of last year. The Fed has been waiting to see the effects of tariffs on the economy. Inflation held steady from June to July at a 2.7-percent annual increase in consumer price index (CPI) after ticking up from 2.4 percent in May. The job market slowed down significantly over the past three months, adding just 106,000 jobs from May through July. Asked Wednesday if a half-percent rate cut in September would signal that the fundamentals of the economy are not in good shape, Bessent said the signal would be one of transition. 'That signals that there's an adjustment, and that rates are too constrictive,' he said. FPowell has said recently that he believes interest rates are now 'modestly restrictive,' meaning that inflation-adjusted interest rates are lowering potential profitability and restraining the level of investment. Bessent criticized Powell's reliance and reactivity to incoming data, which the Fed chair has often stressed during his tenure as chair. 'He's not Alan Greenspan, who was very forward-thinking. They try to be more data-driven, which I think is a mistake,' Bessent said. 'It's just very old-fashioned thinking.'
The Onion
17 minutes ago
- The Onion
Frito-Lay CEO Gifts Trump Gold Funyun
WASHINGTON—In a gesture many critics have decried as yet another blatant bribe to secure favorable regulatory treatment, Frito-Lay CEO Steven Williams presented President Donald Trump this week with a 24-karat, solid gold Funyun. 'The president has long voiced his desire to own a golden, crunchy onion, and we knew it would be our privilege to make that a reality for one of the greatest dealmakers in history,' said Williams to reporters as a beaming Trump proudly moved the gold Funyun sculpture to a permanent spot on the Resolute Desk. 'This expertly crafted artwork reflects how much we at Frito-Lay respect the president's unwavering commitment to protecting the freedoms of American snackers and snack makers alike. We hope that here, under your visionary stewardship, this Funyun will stand as a tribute to our shared commitment to bold, flavorful action.' At press time, Frito-Lay has pledged to donate $26 million in Funyuns, Ruffles, Munchos, and Cool Ranch Doritos to the Donald J. Trump Presidential Library.
