Pre-Market Activity Shows Gains For Actavis (ACT)
- ACT has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $331.6 million.
- ACT traded 65,384 shares today in the pre-market hours as of 7:32 AM.
- ACT is up 15.6% today from yesterday's close.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in ACT with the Ticky from Trade-Ideas. See the FREE profile for ACT NOW at Trade-Ideas More details on ACT: Actavis plc, an integrated specialty pharmaceutical company, develops, manufactures, markets, and distributes pharmaceutical products in the United States, Canada, and internationally. Currently there are 11 analysts that rate Actavis a buy, no analysts rate it a sell, and 1 rates it a hold. The average volume for Actavis has been 1.4 million shares per day over the past 30 days. Actavis has a market cap of $33.1 billion and is part of the health care sector and drugs industry. The stock has a beta of 0.24 and a short float of 1.7% with 1.41 days to cover. Shares are up 14.1% year-to-date as of the close of trading on Thursday. 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 Actavis as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and disappointing return on equity. Highlights from the ratings report include:
- ACT's very impressive revenue growth greatly exceeded the industry average of 3.4%. Since the same quarter one year prior, revenues leaped by 56.6%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
- Compared to its closing price of one year ago, ACT's share price has jumped by 120.95%, exceeding the performance of the broader market during that same time frame. Although ACT had significant growth over the past year, our hold rating indicates that we do not recommend additional investment in this stock at the current time.
- The gross profit margin for ACTAVIS PLC is rather high; currently it is at 51.37%. It has increased from the same quarter the previous year. Despite the strong results of the gross profit margin, ACT's net profit margin of 3.25% significantly trails the industry average.
- Currently the debt-to-equity ratio of 1.69 is quite high overall and when compared to the industry average, suggesting that the current management of debt levels should be re-evaluated. To add to this, ACT has a quick ratio of 0.62, this demonstrates the lack of ability of the company to cover short-term liquidity needs.
- Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Pharmaceuticals industry and the overall market, ACTAVIS PLC's return on equity significantly trails that of both the industry average and the S&P 500.
- You can view the full Actavis 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.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
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
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts
More than 30 investing pros with skin in the game give you actionable insight and investment ideas.