NEW YORK (TheStreet) -- IsoRay (ISR - Get Report) shares jumped, up 8% to $2.96, on Monday after the company announced that its Cesium-131 internal radiation seed was used in the world's first successfully completed stereotactic brain implant surgery.
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TheStreet Ratings team rates ISORAY INC as a Sell with a ratings score of D-. TheStreet Ratings Team has this to say about their recommendation:
"We rate ISORAY INC (ISR) a SELL. This is driven by some concerns, 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 deteriorating net income, poor profit margins and feeble growth in its earnings per share."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Biotechnology industry. The net income has significantly decreased by 191.3% when compared to the same quarter one year ago, falling from -$0.72 million to -$2.08 million.
- The gross profit margin for ISORAY INC is rather low; currently it is at 21.15%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -183.52% is significantly below that of the industry average.
- ISORAY INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. Stable earnings per share over the past two years indicate the company has managed its earnings and share float. We anticipate this stability to falter in the coming year and, in turn, the company to deliver lower earnings per share than the prior full year. During the past fiscal year, ISORAY INC continued to lose money by earning -$0.11 versus -$0.12 in the prior year. For the next year, the market is expecting a contraction of 18.2% in earnings (-$0.13 versus -$0.11).
- The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Biotechnology industry and the overall market, ISORAY INC's return on equity significantly trails that of both the industry average and the S&P 500.
- The revenue fell significantly faster than the industry average of 26.8%. Since the same quarter one year prior, revenues slightly dropped by 9.3%. The declining revenue appears to have seeped down to the company's bottom line, decreasing earnings per share.
- You can view the full analysis from the report here: ISR Ratings Report