Some Israel Land Development – Urban Renewal Ltd (TLV:ILDR) shareholders are probably rather concerned to see the share price fall 36% over the last three months. But that doesn’t displace its brilliant performance over three years. In fact, the share price has taken off in that time, up 514%. Arguably, the recent fall is to be expected after such a strong rise. The share price action could signify that the business itself is dramatically improved, in that time. Anyone who held for that rewarding ride would probably be keen to talk about it.

Since it’s been a strong week for Israel Land Development – Urban Renewal shareholders, let’s have a look at trend of the longer term fundamentals.

View our latest analysis for Israel Land Development – Urban Renewal

Because Israel Land Development – Urban Renewal 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. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.

Israel Land Development – Urban Renewal’s revenue trended up 149% each year over three years. That’s well above most pre-profit companies. In light of this attractive revenue growth, it seems somewhat appropriate that the share price has been rocketing, boasting a gain of 83% per year, over the same period. Despite the strong run, top performers like Israel Land Development – Urban Renewal have been known to go on winning for decades. So we’d recommend you take a closer look at this one, or even put it on your watchlist.

The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).

TASE:ILDR Earnings and Revenue Growth June 29th 2022

Balance sheet strength is crucial. It might be well worthwhile taking a look at our free report on how its financial position has changed over time.

A Different Perspective

It’s nice to see that Israel Land Development – Urban Renewal shareholders have received a total shareholder return of 87% over the last year. That gain is better than the annual TSR over five years, which is 28%. Therefore it seems like sentiment around the company has been positive lately. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. 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. Consider risks, for instance. Every company has them, and we’ve spotted 2 warning signs for Israel Land Development – Urban Renewal you should know about.

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on IL exchanges.

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.

By AKDSEO