Yahoo Finance O-I Glass (NYSE:OI) shareholder returns have been favorable, earning 31% in 1 year
One way to deal with stock volatility is to ensure you have a properly diverse portfolio. But if you're going to beat the market overall, you need to have individual stocks that outperform. O-I Glass, Inc. (NYSE:OI) has done well over the last year, with the stock price up 31% beating the market return of 30% (not including dividends). Zooming out, the stock is actually down 22% in the last three years.
The past week has proven to be lucrative for O-I Glass investors, so let's see if fundamentals drove the company's one-year performance.
Check out our latest analysis for O-I Glass
To quote Buffett, 'Ships will sail around the world but the Flat Earth Society will flourish. There will continue to be wide discrepancies between price and value in the marketplace...' One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.
O-I Glass went from making a loss to reporting a profit, in the last year.
We think the growth looks very prospective, so we're not surprised the market liked it too. Generally speaking the profitability inflection point is a great time to research a company closely, lest you miss an opportunity to profit.
The image below shows how EPS has tracked over time (if you click on the image you can see greater detail).
We know that O-I Glass has improved its bottom line over the last three years, but what does the future have in store? Take a more thorough look at O-I Glass' financial health with this free report on its balance sheet.
A Different Perspective
O-I Glass shareholders have received returns of 31% over twelve months, which isn't far from the general market return. The silver lining is that the share price is up in the short term, which flies in the face of the annualised loss of 3% over the last five years. While 'turnarounds seldom turn' there are green shoots for O-I Glass. It's always interesting to track share price performance over the longer term. But to understand O-I Glass better, we need to consider many other factors. Case in point: We've spotted 2 warning signs for O-I Glass you should be aware of, and 1 of them is a bit concerning.
For those who like to find winning investments this free list of growing 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 US 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.
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