NEW YORK (TheStreet) -- Yahoo! (YHOO) ticked upward on Monday after SunTrust upgraded the company to "buy" from "neutral" and set a $40 price target. The firm believes the risk/reward is favorable after the recent pullback.
The stock was up 1.33% to $33.31 at 10:37 a.m. on Monday.
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- Powered by its strong earnings growth of 43.47% and other important driving factors, this stock has surged by 38.01% 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, YHOO should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- Although YHOO's debt-to-equity ratio of 0.08 is very low, it is currently higher than that of the industry average. Along with this, the company maintains a quick ratio of 3.30, which clearly demonstrates the ability to cover short-term cash needs.
- The gross profit margin for YAHOO INC is currently very high, coming in at 83.75%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 27.50% is above that of the industry average.
- Net operating cash flow has significantly increased by 118.30% to $347.73 million when compared to the same quarter last year. In addition, YAHOO INC has also vastly surpassed the industry average cash flow growth rate of 11.64%.
- You can view the full analysis from the report here: YHOO Ratings Report
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