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well-rounded portfolio typically outperforms the market average, but individual stocks within it may have mixed results. For instance, Schroder European Real Estate Investment Trust Plc's (LON:SERE) share price has fallen by 46% over the last five years, with a recent decline of 10% in three months. Let's examine the company's fundamentals to see if its long-term shareholder return matches its underlying business performance.

    While markets are efficient pricing mechanisms, share prices reflect investor sentiment rather than just business performance. One way to gauge changing sentiment is by comparing earnings per share (EPS) with the share price. Schroder European Real Estate Investment Trust became profitable within the last five years, yet its share price has declined. Other metrics may provide a better understanding of its value over time.

    The dividend has decreased in the last five years, which could have contributed to the share price decline. We note that earnings and revenue have changed over time (see below for exact values). Schroder European Real Estate Investment Trust's bottom line has improved lately, but what does the future hold? Check out this free report showing consensus forecasts.

    When evaluating investment returns, it's essential to consider the difference between total shareholder return (TSR) and share price return. The TSR incorporates dividends and spin-offs, assuming they are reinvested. Schroder European Real Estate Investment Trust's TSR for the last five years was -18%, exceeding its share price return. Dividends have boosted the total shareholder return.

    Investors in Schroder European Real Estate Investment Trust had a tough year, with a 2.5% loss (including dividends), against a market gain of about 8.8%. Even good stocks experience share price drops sometimes, but we want to see improvements in fundamental metrics before getting interested. The last year's loss isn't as bad as the 3% per annum loss investors have suffered over the last half decade.

    To understand Schroder European Real Estate Investment Trust better, we need to consider many other factors, such as risks. Every company has them, and we've spotted 3 warning signs for Schroder European Real Estate Investment Trust (of which 2 are a bit unpleasant!) you should know about.