Heavy Trading On Bob Evans Farms (BOBE) Before Market Open
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 or Stephanie Link.
Trade-Ideas LLC identified
(
) as a pre-market mover with heavy volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Bob Evans Farms as such a stock due to the following factors:
- BOBE has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $15.8 million.
- BOBE traded 106,346 shares today in the pre-market hours as of 8:36 AM, representing 32.2% of its average daily volume.
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More details on BOBE:
Bob Evans Farms, Inc. operates as a full-service restaurant company in the United States. The company conducts its operations through Bob Evans Restaurants and BEF Foods segments. As of April 25, 2014, it owned and operated 561 Bob Evans Restaurants and licensed 2 Bob Evans Express locations. The stock currently has a dividend yield of 2.1%. BOBE has a PE ratio of 69.7. Currently there are 3 analysts that rate Bob Evans Farms a buy, 1 analyst rates it a sell, and none rate it a hold.
The average volume for Bob Evans Farms has been 350,900 shares per day over the past 30 days. Bob Evans Farms has a market cap of $1.4 billion and is part of the services sector and leisure industry. The stock has a beta of 0.22 and a short float of 11.7% with 7.14 days to cover. Shares are up 16.2% year-to-date as of the close of trading on Monday.
Analysis:
rates Bob Evans Farms as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in stock price during the past year and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.
Highlights from the ratings report include:
- BOBE's revenue growth has slightly outpaced the industry average of 7.7%. Since the same quarter one year prior, revenues slightly increased by 0.2%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- 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. The stock's price rise over the last year has driven it to a level which is somewhat expensive compared to the rest of its industry. We feel, however, that other strengths this company displays justify these higher price levels.
- BOB EVANS FARMS has improved earnings per share by 8.7% 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, BOB EVANS FARMS reported lower earnings of $1.18 versus $2.92 in the prior year. This year, the market expects an improvement in earnings ($1.96 versus $1.18).
- The change in net income from the same quarter one year ago has exceeded that of the Hotels, Restaurants & Leisure industry average, but is less than that of the S&P 500. The net income has decreased by 1.3% when compared to the same quarter one year ago, dropping from $6.12 million to $6.04 million.
- Even though the current debt-to-equity ratio is 1.25, it is still below the industry average, suggesting that this level of debt is acceptable within the Hotels, Restaurants & Leisure industry. Even though the debt-to-equity ratio shows mixed results, the company's quick ratio of 0.43 is very low and demonstrates very weak liquidity.
- You can view the full Bob Evans Farms Ratings Report.
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