Today's Strong And Under The Radar Stock: Littelfuse (LFUS)
Trade-Ideas LLC identified
(
) as a strong and under the radar candidate. In addition to specific proprietary factors, Trade-Ideas identified Littelfuse as such a stock due to the following factors:
- LFUS has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $20.5 million.
- LFUS has traded 32.104500000000001591615728102624416351318359375 options contracts today.
- LFUS is making at least a new 3-day high.
- LFUS has a PE ratio of 31.
- LFUS is mentioned 1.77 times per day on StockTwits.
- LFUS has not yet been mentioned on StockTwits today.
- LFUS is currently in the upper 20% of its 1-year range.
- LFUS is in the upper 35% of its 20-day range.
- LFUS is in the upper 45% of its 5-day range.
- LFUS is currently trading above yesterday's high.
'Strong and Under the Radar' stocks tend to be worthwhile stocks to watch for a variety of factors including historical back testing and price action. Market technicians refer to such stocks as being in an accumulation phase before a mark-up and peak. Traders and hedge funds have frequently found that these types of stocks continue to build a solid price base and then ultimately spike higher and peak when others 'discover' how good the stock is performing. By leveraging the social discovery aspect of StockTwits we are highlighting stocks that don't currently receive much attention from retail investors, but we suspect may soon garner more attention.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in LFUS with the Ticky from Trade-Ideas. See the FREE profile for LFUS NOW at Trade-Ideas
More details on LFUS:
Littelfuse, Inc. designs, manufactures, and sells circuit protection devices for use in the automotive, electronic, and electrical markets worldwide. It operates in three segments: Electronics, Automotive, and Electrical. The stock currently has a dividend yield of 1.1%. LFUS has a PE ratio of 31. Currently there are 3 analysts that rate Littelfuse a buy, no analysts rate it a sell, and 2 rate it a hold.
The average volume for Littelfuse has been 147,200 shares per day over the past 30 days. Littelfuse has a market cap of $2.4 billion and is part of the services sector and wholesale industry. The stock has a beta of 1.00 and a short float of 2% with 2.38 days to cover. Shares are up 13.7% year-to-date as of the close of trading on Thursday.
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.
Analysis:
rates Littelfuse as a
. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, expanding profit margins and solid stock price performance. We feel its strengths outweigh the fact that the company has had sub par growth in net income.
Highlights from the ratings report include:
- LFUS's debt-to-equity ratio is very low at 0.28 and is currently below that of the industry average, implying that there has been very successful management of debt levels. To add to this, LFUS has a quick ratio of 2.10, which demonstrates the ability of the company to cover short-term liquidity needs.
- LITTELFUSE INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from 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, LITTELFUSE INC increased its bottom line by earning $4.38 versus $3.93 in the prior year. This year, the market expects an improvement in earnings ($5.01 versus $4.38).
- 43.98% is the gross profit margin for LITTELFUSE INC which we consider to be strong. Regardless of LFUS's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 5.25% trails the industry average.
- LFUS, with its decline in revenue, slightly underperformed the industry average of 0.3%. Since the same quarter one year prior, revenues slightly dropped by 1.0%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
- Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period, despite the company's weak earnings results. 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.
- You can view the full Littelfuse Ratings Report.
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.