Taking the occasional loss comes part and parcel with investing on the stock market. Unfortunately, shareholders of HealthCare Global Enterprises Limited (NSE:HCG) have suffered share price declines over the last year. The share price is down a hefty 61% in that time. To make matters worse, the returns over three years have also been really disappointing (the share price is 53% lower than three years ago). Shareholders have had an even rougher run lately, with the share price down 46% in the last 90 days.

Check out our latest analysis for HealthCare Global Enterprises

Because HealthCare Global Enterprises is loss-making, 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 fast revenue growth can be easily extrapolated to forecast profits, often of considerable size.

HealthCare Global Enterprises grew its revenue by 18% over the last year. That's definitely a respectable growth rate. Unfortunately it seems investors wanted more, because the share price is down 61% in that time. It may well be that the business remains approximately on track, but its revenue growth has simply been delayed. For us it's important to consider when you think a company will become profitable, if you're basing your valuation on revenue.

You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).

We like that insiders have been buying shares in the last twelve months. Having said that, most people consider earnings and revenue growth trends to be a more meaningful guide to the business. If you are thinking of buying or selling HealthCare Global Enterprises stock, you should check out this free report showing analyst profit forecasts.

A Different Perspective

HealthCare Global Enterprises shareholders are down 61% for the year, falling short of the market return. The market shed around 12%, no doubt weighing on the stock price. Shareholders have lost 22% per year over the last three years, so the share price drop has become steeper, over the last year; a potential symptom of as yet unsolved challenges. We would be wary of buying into a company with unsolved problems, although some investors will buy into struggling stocks if they believe the price is sufficiently attractive. It is all well and good that insiders have been buying shares, but we suggest you check here to see what price insiders were buying at.

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on IN exchanges.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. 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. Simply Wall St has no position in the stocks mentioned. Thank you for reading.