Trade-Ideas: Verint Systems (VRNT) 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 Verint Systems (VRNT) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Verint Systems as such a stock due to the following factors:
- VRNT has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $27.5 million.
- VRNT has traded 12,377 shares today.
- VRNT is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in VRNT with the Ticky from Trade-Ideas. See the FREE profile for VRNT NOW at Trade-IdeasMore details on VRNT: Verint Systems Inc. provides Actionable Intelligence solutions and value-added services worldwide. Its solutions are used to capture, distill, and analyze underused information sources, such as voice, video, and unstructured text. VRNT has a PE ratio of 39.0. Currently there are 4 analysts that rate Verint Systems a buy, no analysts rate it a sell, and 2 rate it a hold.The average volume for Verint Systems has been 353,000 shares per day over the past 30 days. Verint Systems has a market cap of $2.4 billion and is part of the technology sector and computer software & services industry. The stock has a beta of 1.07 and a short float of 0.8% with 0.66 days to cover. Shares are up 5.1% year-to-date as of the close of trading on Tuesday.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 Verint Systems as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, compelling growth in net income, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.Highlights from the ratings report include:
- VRNT's revenue growth has slightly outpaced the industry average of 4.9%. Since the same quarter one year prior, revenues rose by 11.3%. Growth in the company's revenue appears to have helped boost the earnings per share.
- VERINT SYSTEMS INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, VERINT SYSTEMS INC increased its bottom line by earning $0.92 versus $0.56 in the prior year. This year, the market expects an improvement in earnings ($2.78 versus $0.92).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Software industry. The net income increased by 311.0% when compared to the same quarter one year prior, rising from $5.47 million to $22.49 million.
- Net operating cash flow has significantly increased by 63.66% to $42.36 million when compared to the same quarter last year. In addition, VERINT SYSTEMS INC has also vastly surpassed the industry average cash flow growth rate of -6.97%.
- Powered by its strong earnings growth of 950.00% and other important driving factors, this stock has surged by 47.09% over the past year, outperforming the rise in the S&P 500 Index during the same period. We feel that the stock's sharp appreciation over the last year has driven it to a price level which is now somewhat expensive compared to the rest of its industry. The other strengths this company shows, however, justify the higher price levels.
- You can view the full Verint Systems 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.
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