Today's Perilous Reversal Stock: Halozyme Therapeutics (HALO)

Trade-Ideas LLC identified Halozyme Therapeutics (HALO) as a "perilous reversal" (up big yesterday but down big today) candidate
By TheStreet Wire ,

Trade-Ideas LLC identified

Halozyme Therapeutics

(

HALO

) as a "perilous reversal" (up big yesterday but down big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified Halozyme Therapeutics as such a stock due to the following factors:

  • HALO has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $21.2 million.
  • HALO has traded 104,491 shares today.
  • HALO is down 3.3% today.
  • HALO was up 6.6% yesterday.

EXCLUSIVE OFFER: Get the inside scoop on opportunities in HALO with the Ticky from Trade-Ideas. See the FREE profile for HALO NOW at Trade-Ideas

More details on HALO:

Halozyme Therapeutics, Inc., a biotechnology company, researches, develops, and commercializes human enzymes. Currently there are 3 analysts that rate Halozyme Therapeutics a buy, 1 analyst rates it a sell, and none rate it a hold.

The average volume for Halozyme Therapeutics has been 1.4 million shares per day over the past 30 days. Halozyme has a market cap of $2.0 billion and is part of the health care sector and drugs industry. The stock has a beta of 0.98 and a short float of 14.5% with 11.62 days to cover. Shares are up 72.8% year-to-date as of the close of trading on Monday.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Halozyme Therapeutics as a

sell

. Among the areas we feel are negative, one of the most important has been poor profit margins.

Highlights from the ratings report include:

  • The gross profit margin for HALOZYME THERAPEUTICS INC is currently extremely low, coming in at 10.66%. Despite the low profit margin, it has increased significantly from the same period last year. Despite the mixed results of the gross profit margin, HALO's net profit margin of 6.95% is significantly lower than the industry average.
  • 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. Compared to other companies in the Biotechnology industry and the overall market, HALOZYME THERAPEUTICS INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • HALO's debt-to-equity ratio of 0.99 is somewhat low overall, but it is high when compared to the industry average, implying that the management of the debt levels should be evaluated further. Even though the debt-to-equity ratio shows mixed results, the company's quick ratio of 4.29 is very high and demonstrates very strong liquidity.
  • Net operating cash flow has significantly increased by 156.69% to $8.94 million when compared to the same quarter last year. In addition, HALOZYME THERAPEUTICS INC has also vastly surpassed the industry average cash flow growth rate of -79.03%.
  • This stock has increased by 51.98% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the future course of this stock, we feel that the risks involved in investing in HALO do not compensate for any future upside potential, despite the fact that it has seen nice gains over the past 12 months.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

Loading ...