ASX:EVE Income Statement Mar 22nd 18
We can further evaluate EVE Investments’s loss by looking at what the industry has been experiencing over the past few years. Each year, for the last five years EVE Investments’s top-line has increased by 24.67% on average, signalling that the company is in a high-growth period with expenses racing ahead revenues, leading to annual losses. Viewing growth from a sector-level, the Australian capital markets industry has been growing, albeit, at a subdued single-digit rate of 8.71% in the past twelve months, and a substantial 15.23% over the previous five years. This means any uplift the industry is profiting from, EVE Investments has not been able to reap as much as its industry peers.
What does this mean?
Though EVE Investments’s past data is helpful, it is only one aspect of my investment thesis. Companies that incur net loss is always difficult to envisage what will happen in the future and when. The most insightful step is to assess company-specific issues EVE Investments may be facing and whether management guidance has consistently been met in the past. I suggest you continue to research EVE Investments to get a better picture of the stock by looking at:
- 1. Financial Health: Is EVE’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.
- 2. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.
NB: Figures in this article are calculated using data from the trailing twelve months from 31 December 2017. This may not be consistent with full year annual report figures.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.