NASDAQ:BCRX) share price dropped 62% in the last half decade. That is extremely sub-optimal, to say the least. Furthermore, it’s down 16% in about a quarter. That’s not much fun for holders. We note that the company has reported results fairly recently; and the market is hardly delighted. You can check out the latest numbers in our company report.” data-reactid=”28″>We think intelligent long term investing is the way to go. But no-one is immune from buying too high. Zooming in on an example, the BioCryst Pharmaceuticals, Inc. (NASDAQ:BCRX) share price dropped 62% in the last half decade. That is extremely sub-optimal, to say the least. Furthermore, it’s down 16% in about a quarter. That’s not much fun for holders. We note that the company has reported results fairly recently; and the market is hardly delighted. You can check out the latest numbers in our company report.
View our latest analysis for BioCryst Pharmaceuticals ” data-reactid=”29″>View our latest analysis for BioCryst Pharmaceuticals
Because BioCryst Pharmaceuticals 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 expect to see good revenue growth. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.
In the last five years BioCryst Pharmaceuticals saw its revenue shrink by 5.1% per year. That’s not what investors generally want to see. With neither profit nor revenue growth, the loss of 10% per year doesn’t really surprise us. We don’t think anyone is rushing to buy this stock. Not that many investors like to invest in companies that are losing money and not growing revenue.
The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).
report showing consensus forecasts” data-reactid=”49″>It’s good to see that there was some significant insider buying in the last three months. That’s a positive. On the other hand, we think the revenue and earnings trends are much more meaningful measures of the business. So we recommend checking out this free report showing consensus forecasts
A Different Perspective
3 warning signs for BioCryst Pharmaceuticals (1 is significant) that you should be aware of.” data-reactid=”51″>It’s good to see that BioCryst Pharmaceuticals has rewarded shareholders with a total shareholder return of 61% in the last twelve months. Notably the five-year annualised TSR loss of 10% per year compares very unfavourably with the recent share price performance. The long term loss makes us cautious, but the short term TSR gain certainly hints at a brighter future. 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. For instance, we’ve identified 3 warning signs for BioCryst Pharmaceuticals (1 is significant) that you should be aware of.
list of growing companies that insiders are buying.” data-reactid=”52″>There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Get in touch with us directly. Alternatively, email [email protected].” data-reactid=”54″>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.