Buying shares in the best businesses can build meaningful wealth for you and your family. While not every stock performs well, when investors win, they can win big. Just think about the savvy investors who held Safe Bulkers, Inc. (NYSE:SB) shares for the last five years, while they gained 335%. If that doesn’t get you thinking about long term investing, we don’t know what will. On top of that, the share price is up 104% in about a quarter.
Check out our latest analysis for Safe Bulkers
Because Safe Bulkers 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. That’s because it’s hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.
In the last 5 years Safe Bulkers saw its revenue grow at 13% per year. That’s a pretty good long term growth rate. However, the share price gain of 34% during the period is considerably stronger. It might not be cheap but a (long-term) growth stock like this is usually well worth taking a closer look at.
The company’s revenue and earnings (over time) are depicted in the image below (click to see the exact numbers).
If you are thinking of buying or selling Safe Bulkers stock, you should check out this FREE detailed report on its balance sheet.
A Different Perspective
We’re pleased to report that Safe Bulkers shareholders have received a total shareholder return of 34% over one year. However, the TSR over five years, coming in at 34% per year, is even more impressive. It’s always interesting to track share price performance over the longer term. But to understand Safe Bulkers better, we need to consider many other factors. Case in point: We’ve spotted 1 warning sign for Safe Bulkers you should be aware of.
Of course Safe Bulkers may not be the best stock to buy. So you may wish to see this free collection of growth stocks.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US exchanges.
If you decide to trade Safe Bulkers, use the lowest-cost* platform that is rated #1 Overall by Barron’s, Interactive Brokers. Trade stocks, options, futures, forex, bonds and funds on 135 markets, all from a single integrated account.
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.
*Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.