Emergent BioSolutions (EBS) Hits New Lifetime High Today
Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer.
Trade-Ideas LLC identified
(
) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Emergent BioSolutions as such a stock due to the following factors:
- EBS has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $11.9 million.
- EBS has traded 43,304 shares today.
- EBS is trading at a new lifetime high.
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More details on EBS:
Emergent BioSolutions Inc., a specialty pharmaceutical company, develops, manufactures, and commercializes specialized products for use in biodefense and commercial markets in the United States and internationally. EBS has a PE ratio of 33.6. Currently there are 2 analysts that rate Emergent BioSolutions a buy, no analysts rate it a sell, and none rate it a hold.
The average volume for Emergent BioSolutions has been 233,800 shares per day over the past 30 days. Emergent BioSolutions has a market cap of $1.1 billion and is part of the health care sector and drugs industry. The stock has a beta of 0.80 and a short float of 12% with 9.09 days to cover. Shares are up 9.2% year-to-date as of the close of trading on Wednesday.
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Analysis:
rates Emergent BioSolutions as a
. The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in stock price during the past year, attractive valuation levels, good cash flow from operations and growth in earnings per share. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results.
Highlights from the ratings report include:
- EBS's very impressive revenue growth exceeded the industry average of 36.4%. Since the same quarter one year prior, revenues leaped by 50.8%. Growth in the company's revenue appears to have helped boost the earnings per share.
- Compared to where it was a year ago today, the stock is now trading at a higher level, reflecting both the market's overall trend during that period and the fact that the company's earnings growth has been robust. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year.
- Net operating cash flow has significantly increased by 499.71% to $51.82 million when compared to the same quarter last year. In addition, EMERGENT BIOSOLUTIONS INC has also vastly surpassed the industry average cash flow growth rate of 51.59%.
- EMERGENT BIOSOLUTIONS INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, EMERGENT BIOSOLUTIONS INC reported lower earnings of $0.73 versus $0.84 in the prior year. This year, the market expects an improvement in earnings ($1.11 versus $0.73).
- You can view the full Emergent BioSolutions Ratings Report.
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