An investment of £ 10,000 in Rolls-Royce shares last week is now worth this …

Rolls-Royce (LSE: RR) The actions are the toasts of the Ftse 100 And with good reason. They have increased an amazing 635% in the last three years, including a 70% increase in the last 12 months.

He Ftse 100-The engineering group in the list has delivered one of the great return of the stock market of recent times. When Erginbilgiç CEO took the reins in January 2023, many still questioned the group's long -term future.

Today, it is a completely different story. He has taken an expanding and slow engineering giant and turned it into a thinner and more bad machine, and investors have harvested the rewards.

Can this ftse 100 stars fly even higher?

The resurgent demand for international travel has helped boost the growth of the company's civil aerospace division.

The strongest Western defense expense has given him another impulse. Donald Trump's economic agitation brand has helped stimulate NATO nations intensifying the investment.

However, Rolls-Royce is not immune to global nerves. Last week he has delivered a verification of reality.

In just five days of negotiation, the price of shares has fallen by around 7%. That means that anyone who put £ 10,000 in Rolls-Royce shares is now watching a loss of paper of £ 700. Its investment would be worth approximately 9,300 today.

In the great scheme of things, that is not a disaster. We have seen some violent changes throughout the market lately, and Rolls-Royce has remained better than most. But it is a reminder that there are no actions in a straight line.

The drop in the price of the shares could even present a second chance for investors who felt they had lost their moment.

At the time of writing this article, Rolls-Royce is quoted in a price / profits ratio of approximately 34. That is rich compared to the FTSE 100 average of around 16, but possibly just for a company that is shown that it can grow at this rate.

Even so, I would not be accumulating too much with enthusiasm yet.

The valuations like this provide pressure. When expectations are so high, even a bit of bad news could send the price of the shares.

Dividends, growth and repurchases of shares

And although Rolls-Royce is diversified, its bread and butter remains in aircraft engines. More specifically, real money is in long -term maintenance contracts, which depend on the amount of flight that occurs. A global recession could make a dent in that.

Then there is the long -awaited decision about its small nuclear reactors, or Mini Nukes. This could be a great growth, but until governments are approved, we just don't know.

However, the analyst's feeling is widely positive. Of the 18 experts who cover the shares, 10 qualify it in a strong purchase, three qualify a purchase and only one calls it a sale. It is likely that some of these points of view will be prior to this last bamboo, although it is unlikely that it has changed a lot.

In my opinion, anyone who considers buying Rolls-Royce today should forget to dazzle a recent performance. It is historical. In the past. On.

The future is likely to be a slower routine and both dividends and dazzling shares of shares. The 2025 performance forecast is a modest 1.13%, although the repurchase of actions in progress of £ 1 billion is a good bonus.

It is still a great company. although. And it is still worth considering, but with a long -term vision.