W
e're pleased to see AmanahRaya Real Estate Investment Trust's share price has risen 14% in the last quarter, but this doesn't change the fact that its five-year returns have been underwhelming. Over the past half decade, the stock has dropped 39%, significantly outpacing a decline of just 9% in earnings per share (EPS). This disparity suggests investors may be optimistic about future performance.

    Looking at EPS over the last five years, we see a decline of 45% annually, partly due to extraordinary items impacting earnings. Meanwhile, the share price has fallen by 9% compound annually. The market's P/E ratio of 131.96 implies it expects a brighter future for the business.

    It's worth noting that total shareholder return (TSR) can provide a more comprehensive picture of investment returns than just share price performance. For AmanahRaya Real Estate Investment Trust, TSR over the last five years was -19%, which is better than the share price return mentioned above. This improvement in TSR is largely due to dividend payments.

    In the short term, shareholders have seen a 19% total shareholder return over one year, including dividends. However, this doesn't change our caution about the long-term loss of around 4% per annum over the last half decade. We've identified six warning signs for AmanahRaya Real Estate Investment Trust, two of which are potentially serious, that investors should be aware of.