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

Facebook

(

FB

) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Facebook as such a stock due to the following factors:

• FB has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $2.0 billion.

• FB has traded 3.7 million shares today.

• FB is trading at a new lifetime high.

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More details on FB:

Facebook, Inc. operates as a social networking company worldwide. It provides a set of development tools and application programming interfaces that enable developers to integrate with Facebook to create mobile and Web applications. FB has a PE ratio of 72.2. Currently there are 27 analysts that rate Facebook a buy, no analysts rate it a sell, and 2 rate it a hold.

The average volume for Facebook has been 24.1 million shares per day over the past 30 days. Facebook has a market cap of $177.5 billion and is part of the technology sector and internet industry. The stock has a beta of 0.78 and a short float of 1.5% with 1.19 days to cover. Shares are up 3.7% year-to-date as of the close of trading on Wednesday.

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TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Facebook as a

hold

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and impressive record of earnings per share growth. However, as a counter to these strengths, we find that the company's return on equity has been disappointing.

Highlights from the ratings report include:

• The revenue growth greatly exceeded the industry average of 18.6%. Since the same quarter one year prior, revenues rose by 48.9%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
• FB's debt-to-equity ratio is very low at 0.01 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with this, the company maintains a quick ratio of 9.04, which clearly demonstrates the ability to cover short-term cash needs.
• The gross profit margin for FACEBOOK INC is currently very high, coming in at 94.31%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 18.20% trails the industry average.
• The stock has risen over the past year as investors have generally rewarded the company for its earnings growth and other positive factors like the ones we have cited in this report. Looking ahead, the stock's rise over the last year has already helped drive it to a level which is relatively expensive compared to the rest of its industry, implying reduced upside potential.
• The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. When compared to other companies in the Internet Software & Services industry and the overall market, FACEBOOK INC's return on equity is below that of both the industry average and the S&P 500.

• You can view the full Facebook Ratings Report.

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