The worst result, after buying shares in a company (assuming no leverage), would be if you lose all the money you put in. But on the bright side, you can make far more than 100% on a really good stock. One great example is StealthGas Inc. (NASDAQ:GASS) which saw its share price drive 183% higher over five years. And in the last month, the share price has gained 8.3%.

Now it’s worth having a look at the company’s fundamentals too, because that will help us determine if the long term shareholder return has matched the performance of the underlying business.

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In his essay The Superinvestors of Graham-and-Doddsville Warren Buffett described how share prices do not always rationally reflect the value of a business. 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.

During the last half decade, StealthGas became profitable. Sometimes, the start of profitability is a major inflection point that can signal fast earnings growth to come, which in turn justifies very strong share price gains.

The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image).

It is of course excellent to see how StealthGas has grown profits over the years, but the future is more important for shareholders. Take a more thorough look at StealthGas’ financial health with this free report on its balance sheet.

We’d be remiss not to mention the difference between StealthGas’ total shareholder return (TSR) and its share price return. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. We note that StealthGas’ TSR, at 188% is higher than its share price return of 183%. When you consider it hasn’t been paying a dividend, this data suggests shareholders have benefitted from a spin-off, or had the opportunity to acquire attractively priced shares in a discounted capital raising.

We’re pleased to report that StealthGas shareholders have received a total shareholder return of 18% over one year. However, the TSR over five years, coming in at 24% per year, is even more impressive. It’s always interesting to track share price performance over the longer term. But to understand StealthGas better, we need to consider many other factors. Consider risks, for instance. Every company has them, and we’ve spotted 1 warning sign for StealthGas you should know about.