RBA Seen Cutting Three More Times by Early 2026, Matching Market
The Reserve Bank will take its cash rate to 3.1% in the first quarter of 2026, from 3.85% now, and then pause for a prolonged period, according to the median estimate of 40 economists in a Bloomberg survey released Wednesday.
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Fenix Resources (ASX:FEX) delivers shareholders massive 47% CAGR over 5 years, surging 10% in the last week alone
For many, the main point of investing in the stock market is to achieve spectacular returns. While not every stock performs well, when investors win, they can win big. To wit, the Fenix Resources Limited (ASX:FEX) share price has soared 344% over five years. If that doesn't get you thinking about long term investing, we don't know what will. It's also up 14% in about a month. Since the stock has added AU$22m to its market cap in the past week alone, let's see if underlying performance has been driving long-term returns. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. During the five years of share price growth, Fenix Resources moved from a loss to profitability. That kind of transition can be an inflection point that justifies a strong share price gain, just as we have seen here. The image below shows how EPS has tracked over time (if you click on the image you can see greater detail). Before buying or selling a stock, we always recommend a close examination of historic growth trends, available here. What About The Total Shareholder Return (TSR)? We'd be remiss not to mention the difference between Fenix Resources' total shareholder return (TSR) and its share price return. The TSR attempts to capture the value of dividends (as if they were reinvested) as well as any spin-offs or discounted capital raisings offered to shareholders. Its history of dividend payouts mean that Fenix Resources' TSR of 586% over the last 5 years is better than the share price return. A Different Perspective While the broader market gained around 13% in the last year, Fenix Resources shareholders lost 16%. Even the share prices of good stocks drop sometimes, but we want to see improvements in the fundamental metrics of a business, before getting too interested. Longer term investors wouldn't be so upset, since they would have made 47%, each year, over five years. It could be that the recent sell-off is an opportunity, so it may be worth checking the fundamental data for signs of a long term growth trend. It's always interesting to track share price performance over the longer term. But to understand Fenix Resources better, we need to consider many other factors. Consider for instance, the ever-present spectre of investment risk. We've identified 1 warning sign with Fenix Resources , and understanding them should be part of your investment process. Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of companies we expect will grow earnings. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Australian exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) 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. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
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Is GenusPlus Group Ltd's (ASX:GNP) Stock's Recent Performance Being Led By Its Attractive Financial Prospects?
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Macquarie Group's Profit Falls on Asset Management, Commodities
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