Progenics Pharmaceuticals (PGNX) Is Weak On High Volume 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 or Stephanie Link.
Trade-Ideas LLC identified
(
) as a weak on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Progenics Pharmaceuticals as such a stock due to the following factors:
- PGNX has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $5.9 million.
- PGNX has traded 98,496 shares today.
- PGNX is trading at 4.63 times the normal volume for the stock at this time of day.
- PGNX is trading at a new low 3.02% below yesterday's close.
'Weak on High Relative Volume' stocks are worth watching because major volume moves tend to indicate underlying activity such as material stock news, analyst downgrades, insider selling, selling from 'superinvestors,' or that hedge funds and traders are piling out of a stock ahead of a catalyst. Regardless of the impetus behind the price and volume action, when a stock moves with strength and volume it can indicate the start of a new trend on which early investors can capitalize (or avoid losses by trimming weak positions). In the event of a well-timed trading opportunity, combining technical indicators with fundamental trends and a disciplined trading methodology should help you take the first steps towards investment success.
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More details on PGNX:
Progenics Pharmaceuticals, Inc. develops medicines for oncology. PGNX has a PE ratio of 62.0. Currently there is 1 analyst that rates Progenics Pharmaceuticals a buy, no analysts rate it a sell, and 2 rate it a hold.
The average volume for Progenics Pharmaceuticals has been 873,100 shares per day over the past 30 days. Progenics has a market cap of $474.4 million and is part of the health care sector and drugs industry. The stock has a beta of 2.63 and a short float of 18.8% with 12.01 days to cover. Shares are down 8.1% year-to-date as of the close of trading on Friday.
Analysis:
rates Progenics Pharmaceuticals as a
. 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:
- PGNX's very impressive revenue growth greatly exceeded the industry average of 35.5%. Since the same quarter one year prior, revenues leaped by 4704.6%. Growth in the company's revenue appears to have helped boost the earnings per share.
- PGNX has no debt to speak of therefore resulting in a debt-to-equity ratio of zero, which we consider to be a relatively favorable sign. Along with this, the company maintains a quick ratio of 20.98, which clearly demonstrates the ability to cover short-term cash needs.
- Powered by its strong earnings growth of 400.00% and other important driving factors, this stock has surged by 39.46% over the past year, outperforming the rise in the S&P 500 Index during the same period. Looking ahead, however, we cannot assume that the stock's past performance is going to drive future results. Quite to the contrary, its sharp appreciation over the last year is one of the factors that should prompt investors to seek better opportunities elsewhere.
- 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. In comparison to the other companies in the Biotechnology industry and the overall market, PROGENICS PHARMACEUTICAL INC's return on equity is significantly below that of the industry average and is below that of the S&P 500.
- You can view the full Progenics Pharmaceuticals Ratings Report.
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