By late morning Monday, shares had added 20.4% to $1.36. Trading volume of 4.7 million was more than triple its three-month daily average.
The mobile security software developer is slated to release its fourth-quarter results prior to market open. In its third quarter ended September, the Port Townsend, Wash.-based business recorded revenue of $2.58 million, a 21.7% year-over-year increase, and break-even earnings.
In the year-ago fourth quarter, the company reported sales of $528,000 and a net loss of 7 cents a share.
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TheStreet Ratings team rates INTELLICHECK MOBILISA INC as a Sell with a ratings score of D. The team has this to say about their recommendation:
"We rate INTELLICHECK MOBILISA INC (IDN) a SELL. This is driven by a few notable weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its disappointing return on equity and weak operating cash flow."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- 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 Electronic Equipment, Instruments & Components industry and the overall market, INTELLICHECK MOBILISA INC's return on equity significantly trails that of both the industry average and the S&P 500.
- Net operating cash flow has significantly decreased to $0.08 million or 92.21% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
- INTELLICHECK MOBILISA INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has not demonstrated a clear trend in earnings over the past 2 years, making it difficult to accurately predict earnings for the coming year. During the past fiscal year, INTELLICHECK MOBILISA INC reported poor results of -$0.08 versus -$0.02 in the prior year.
- The gross profit margin for INTELLICHECK MOBILISA INC is currently very high, coming in at 78.05%. Regardless of IDN's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 0.62% trails the industry average.
- IDN has no debt to speak of therefore resulting in a debt-to-equity ratio of zero, which we consider to be a relatively favorable sign. Although the company had a strong debt-to-equity ratio, its quick ratio of 0.80 is somewhat weak and could be cause for future problems.
- You can view the full analysis from the report here: IDN Ratings Report