The Ensign Group, Inc. (NASDAQ: ENSG) has seen impressive growth in its share price over the past five years, with a 126% increase. This positive trend continued with a 9.1% increase in just one month, likely influenced by the overall market performance. Despite this, it’s important to analyze the company’s fundamentals to understand the driving factors behind this growth.
Ensign Group has shown a compound earnings per share (EPS) growth of 28% per year, outpacing the average annual increase in share price by 10%. This suggests that the market may have become more cautious towards the stock over time. The total shareholder return (TSR) for Ensign Group over the last five years was 145%, indicating that dividend payments have played a significant role in this performance.
Looking at a different perspective, shareholders have received a 46% TSR over the past year, which is higher than the 20% TSR over five years. This recent improvement in TSR could indicate positive sentiment surrounding the company. It’s worth noting that while Ensign Group has shown strong growth, it may not be the best stock to buy for everyone.
Overall, it’s important to conduct thorough research before making investment decisions. Understanding the company’s financial health, dividend payments, and insider transactions can provide valuable insights. Remember that investing in the stock market carries risks, and it’s essential to make informed choices based on your individual financial goals and situation.