Trade-Ideas: Anixter International (AXE) Is Today's New Lifetime High Stock
Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.Trade-Ideas LLC identified Anixter International (AXE) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Anixter International as such a stock due to the following factors:
- AXE has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $15.4 million.
- AXE has traded 1,175 shares today.
- AXE is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in AXE with the Ticky from Trade-Ideas. See the FREE profile for AXE NOW at Trade-IdeasMore details on AXE: Anixter International Inc., together with its subsidiaries, distributes enterprise cabling and security solutions, electrical and electronic wire and cable products, original equipment manufacturer (OEM) supply fasteners, and other small parts. AXE has a PE ratio of 20.9. Currently there are 4 analysts that rate Anixter International a buy, no analysts rate it a sell, and 3 rate it a hold.The average volume for Anixter International has been 154,000 shares per day over the past 30 days. Anixter International has a market cap of $3.0 billion and is part of the services sector and wholesale industry. The stock has a beta of 1.60 and a short float of 3.4% with 4.97 days to cover. Shares are up 2.5% year-to-date as of the close of trading on Monday.STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.TheStreetRatings.com Analysis:TheStreet Quant Ratings rates Anixter International as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, good cash flow from operations, growth in earnings per share and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.Highlights from the ratings report include:
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Electronic Equipment, Instruments & Components industry. The net income increased by 162.4% when compared to the same quarter one year prior, rising from $20.50 million to $53.80 million.
- Powered by its strong earnings growth of 174.57% and other important driving factors, this stock has surged by 41.49% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, AXE should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- Net operating cash flow has increased to $79.90 million or 19.79% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -13.90%.
- ANIXTER INTL INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, ANIXTER INTL INC reported lower earnings of $3.65 versus $5.73 in the prior year. This year, the market expects an improvement in earnings ($5.63 versus $3.65).
- AXE, with its decline in revenue, slightly underperformed the industry average of 0.9%. Since the same quarter one year prior, revenues slightly dropped by 3.2%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
- You can view the full Anixter International Ratings Report.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV