It’s been a bumpy ride for CSL Limited (ASX: CSL) shareholders this past 6 months.
For those who can’t stomach extreme volatility, CSL shares wouldn’t have been an appropriate choice over the last half year.
Nonetheless, CSL shareholders have been rewarded with a 10% return for holding in this time – almost double the S&P/ASX 200 index (ASX: XJO)’s gain of 5.7%.
Let’s take a closer look at the trek CSL shares have been on lately.
How has the CSL share price performed this past 6 months?
All in all, CSL shares have climbed $27 per share since April and now trade at $290, after sailing through choppy waters.
After rallying from $263 to $305 in months from April to June, a broker downgrade out of investment bank giant Citibank appears to have plagued the biotechnology company’s share price at that point.
It fell sharply from the peak in June to a low of $275 by the following month. It popped again in mid-July after it appointed a new non-executive director, and then again in August after the release of its FY21 results.
In its earnings report, the company outperformed on guidance. It grew revenue 10% year on year to $10 billion and net profit by 10% as well to $2.3 billion – well above guidance of 3% to 8% growth.
CSL shares have been on the move since this event, nearly reaching their 52-week high by the end of September.
However, the CSL share price has taken a step backwards since then, in line with a selloff in the broader markets.
For instance, CSL shares have given away 7% this past month, whereas, at last check, the S&P/ASX 200 Health Care index (XHJ) has also slipped over 6% in this time.
Most of this has occurred in the last few weeks, where CSL shares have slipped over 7% since 23 September, in line with the broad index.
In light of this, it’s clear to see that it’s been a bumpy ride for CSL shareholders this past 6 months, with big swings in the value of their holdings.
Zooming out the CSL share price
Taking a longer-term view, the situation appears very much the same. The CSL share price has gained 2.4% this year to date, and 1.9% over the last 12 months.
Looking at its chart, however, over this time, there are big swings in price and a wide 12-month range of $316.68 to $246.
After rallying over the past 2 months, CSL’s share price has cooled off lately and currently trades at its July 2021 levels of $290.
Should you invest $1,000 in CSL right now?
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The author Zach Bristow has no positions in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended CSL Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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