Trade-Ideas: Celgene (CELG) Is Today's Momo Momentum Stock
- CELG has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $333.2 million.
- CELG has a PE ratio of 50.2.
- CELG is currently in the upper 30% of its 1-year range.
- CELG is in the upper 25% of its 20-day range.
- CELG is in the upper 35% of its 5-day range.
- CELG is currently trading above yesterday's high.
- CELG has experienced a gap between today's open and yesterday's close of 0.5%.
'Momo Momentum' stocks are valuable stocks to watch for a variety of reasons including historical back testing and price action. Market technicians refer to such stocks as being in a mark-up phase before a possible distribution period and price decline. Technical analysts and traders frequently find that the factors referenced above tend to create a temporary burst of strong wind in a stock's sail. Nevertheless, all successful traders must excel at maximizing gains while keeping losses to an absolute minimum. For that reason, the holding period on momo momentum stocks must always be a primary consideration, and this part of the puzzle is ultimately at the discretion of each individual's risk tolerance and portfolio risk management skills. EXCLUSIVE OFFER: Get the inside scoop on opportunities in CELG with the Ticky from Trade-Ideas. See the FREE profile for CELG NOW at Trade-Ideas More details on CELG: Celgene Corporation, a biopharmaceutical company, discovers, develops, and commercializes therapies to treat cancer and immune-inflammatory related diseases in the United States and internationally. CELG has a PE ratio of 50.2. Currently there are 17 analysts that rate Celgene a buy, no analysts rate it a sell, and 4 rate it a hold. The average volume for Celgene has been 4.7 million shares per day over the past 30 days. Celgene has a market cap of $69.5 billion and is part of the health care sector and drugs industry. The stock has a beta of 1.10 and a short float of 1.6% with 3.50 days to cover. Shares are up 2.3% 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 Celgene as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share, robust revenue growth, notable return on equity and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Highlights from the ratings report include:
- Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. Looking ahead, unless broad bear market conditions prevail, we still see more upside potential for this stock, despite the fact that it has already risen over the past year.
- CELGENE CORP has improved earnings per share by 29.7% 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, CELGENE CORP increased its bottom line by earning $1.69 versus $1.65 in the prior year. This year, the market expects an improvement in earnings ($3.67 versus $1.69).
- CELG's revenue growth trails the industry average of 41.0%. Since the same quarter one year prior, revenues rose by 17.1%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Biotechnology industry and the overall market, CELGENE CORP's return on equity significantly exceeds that of both the industry average and the S&P 500.
- The gross profit margin for CELGENE CORP is currently very high, coming in at 96.21%. Regardless of CELG'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 31.92% trails the industry average.
- You can view the full Celgene 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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