It's common for many investors, especially those who are inexperienced, to buy shares in companies with a good story even if these companies are loss-making. Unfortunately, these high risk investments often have little probability of ever paying off, and many investors pay a price to learn their lesson. While a well funded company may sustain losses for years, it will need to generate a profit eventually, or else investors will move on and the company will wither away.

So if this idea of high risk and high reward doesn't suit, you might be more interested in profitable, growing companies, like Enterprise Group (TSE:E). Now this is not to say that the company presents the best investment opportunity around, but profitability is a key component to success in business.

Check out our latest analysis for Enterprise Group

How Fast Is Enterprise Group Growing Its Earnings Per Share?

Enterprise Group has undergone a massive growth in earnings per share over the last three years. So much so that this three year growth rate wouldn't be a fair assessment of the company's future. As a result, we'll zoom in on growth over the last year, instead. Impressively, Enterprise Group's EPS catapulted from CA$0.068 to CA$0.13, over the last year. It's not often a company can achieve year-on-year growth of 88%.

One way to double-check a company's growth is to look at how its revenue, and earnings before interest and tax (EBIT) margins are changing. The music to the ears of Enterprise Group shareholders is that EBIT margins have grown from 16% to 26% in the last 12 months and revenues are on an upwards trend as well. That's great to see, on both counts.

The chart below shows how the company's bottom and top lines have progressed over time. For finer detail, click on the image.

Enterprise Group isn't a huge company, given its market capitalisation of CA$69m. That makes it extra important to check on its balance sheet strength.

Are Enterprise Group Insiders Aligned With All Shareholders?

Investors are always searching for a vote of confidence in the companies they hold and insider buying is one of the key indicators for optimism on the market. That's because insider buying often indicates that those closest to the company have confidence that the share price will perform well. Of course, we can never be sure what insiders are thinking, we can only judge their actions.

Enterprise Group insiders both bought and sold shares over the last twelve months, but they did end up spending CA$46k more on stock than they received from selling it. So, on balance, the insider transactions are mildly encouraging. We also note that it was the Chairman, Leonard Jaroszuk, who made the biggest single acquisition, paying CA$19k for shares at about CA$0.57 each.