Posted 12/10/2023, 1:35:45 PM
Penumbra Share Price Drops Despite Prospects of Earnings Growth
- Penumbra's (NYSEPEN) share price has dropped 25% over the past 3 months despite some positive fundamentals
- The company's return on equity (ROE) is only 3.7%, below the industry average of 9.5%, indicating inefficient use of shareholder equity
- Earnings have declined 14% over the past 5 years even as the industry has grown earnings by 9.1% over the same period
- Penumbra pays no dividends, retaining all profits for reinvestment, but business performance deteriorates
- Analyst estimates forecast a significant 34.23% per year earnings growth rate for Penumbra in the future