BGC Partners (NASDAQ: BGCP) shares currently have a dividend yield of 11.24%. BGC Partners, Inc. operates as a brokerage company, primarily servicing the wholesale financial markets. The company has a P/E ratio of 6.19. Currently there are 2 analysts that rate BGC Partners a buy, 1 analyst rates it a sell, and 2 rate it a hold. The average volume for BGC Partners has been 1,526,400 shares per day over the past 30 days. BGC Partners has a market cap of $500.0 million and is part of the financial services industry. Shares are up 23.4% year to date as of the close of trading on Friday. TheStreet Ratings rates BGC Partners as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, compelling growth in net income and growth in earnings per share. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and poor profit margins. Highlights from the ratings report include:
- BGCP's revenue growth has slightly outpaced the industry average of 12.3%. Since the same quarter one year prior, revenues rose by 21.0%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Capital Markets industry. The net income increased by 268.9% when compared to the same quarter one year prior, rising from $3.84 million to $14.17 million.
- The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Capital Markets industry and the overall market on the basis of return on equity, BGC PARTNERS INC has outperformed in comparison with the industry average, but has underperformed when compared to that of the S&P 500.
- BGCP's stock share price has done very poorly compared to where it was a year ago: Despite any rallies, the net result is that it is down by 39.86%, which is also worse that the performance of the S&P 500 Index. Investors have so far failed to pay much attention to the earnings improvements the company has managed to achieve over the last quarter. Although its share price is down sharply from a year ago, do not assume that it can now be tagged as cheap and attractive. The reality is that, based on its current price in relation to its earnings, BGCP is still more expensive than most of the other companies in its industry.
- The gross profit margin for BGC PARTNERS INC is currently extremely low, coming in at 1.70%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of 3.29% significantly trails the industry average.
- You can view the full BGC Partners Ratings Report.
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