---
title: "The three-year shareholder returns and company earnings persist lower as H&K (EPA:MLHK) stock falls a further 11% in past week"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/273795629.md"
description: "H&K AG (EPA:MLHK) has seen a significant decline in its stock price, down 68% over three years and 66% in the past year. Recently, the stock fell 11% in the last week. The company's earnings per share (EPS) decreased at a compound rate of 1.7% annually, while the share price dropped by 31% per year. The total shareholder return (TSR) over three years was -60%, primarily due to dividend payments. Investors faced a total loss of 66% this year, contrasting with a market gain of 3.9%."
datetime: "2026-01-27T06:07:56.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/273795629.md)
  - [en](https://longbridge.com/en/news/273795629.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/273795629.md)
---

> Supported Languages: [简体中文](https://longbridge.com/zh-CN/news/273795629.md) | [繁體中文](https://longbridge.com/zh-HK/news/273795629.md)


# The three-year shareholder returns and company earnings persist lower as H&K (EPA:MLHK) stock falls a further 11% in past week

The truth is that if you invest for long enough, you're going to end up with some losing stocks. Long term **H&K AG** (EPA:MLHK) shareholders know that all too well, since the share price is down considerably over three years. Sadly for them, the share price is down 68% in that time. The more recent news is of little comfort, with the share price down 66% in a year. Shareholders have had an even rougher run lately, with the share price down 17% in the last 90 days.

With the stock having lost 11% in the past week, it's worth taking a look at business performance and seeing if there's any red flags.

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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.

H&K saw its EPS decline at a compound rate of 1.7% per year, over the last three years. This reduction in EPS is slower than the 31% annual reduction in the share price. So it seems the market was too confident about the business, in the past.

The image below shows how EPS has tracked over time (if you click on the image you can see greater detail).

ENXTPA:MLHK Earnings Per Share Growth January 27th 2026

Before buying or selling a stock, we always recommend a close examination of historic growth trends, available here.

## What About Dividends?

It is important to consider the total shareholder return, as well as the share price return, for any given stock. 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. Arguably, the TSR gives a more comprehensive picture of the return generated by a stock. As it happens, H&K's TSR for the last 3 years was -60%, which exceeds the share price return mentioned earlier. This is largely a result of its dividend payments!

## A Different Perspective

Investors in H&K had a tough year, with a total loss of 66% (including dividends), against a market gain of about 3.9%. Even the share prices of good stocks drop sometimes, but we want to see improvements in the fundamental metrics of a business, before getting too interested. Unfortunately, last year's performance may indicate unresolved challenges, given that it was worse than the annualised loss of 8% over the last half decade. Generally speaking long term share price weakness can be a bad sign, though contrarian investors might want to research the stock in hope of a turnaround. Before forming an opinion on H&K you might want to consider these 3 valuation metrics.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this **free** list of companies that have proven they can grow earnings.

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

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