Today's Strong And Under The Radar Stock: ServiceMaster Global Holdings (SERV)

Trade-Ideas LLC identified ServiceMaster Global Holdings (SERV) as a strong and under the radar candidate
By TheStreet Wire ,

Trade-Ideas LLC identified

ServiceMaster Global Holdings

(

SERV

) as a strong and under the radar candidate. In addition to specific proprietary factors, Trade-Ideas identified ServiceMaster Global Holdings as such a stock due to the following factors:

  • SERV has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $51.6 million.
  • SERV has traded 81.3581999999999965211827657185494899749755859375 options contracts today.
  • SERV is making at least a new 3-day high.
  • SERV has a PE ratio of 32.
  • SERV is mentioned 0.65 times per day on StockTwits.
  • SERV has not yet been mentioned on StockTwits today.
  • SERV is currently in the upper 20% of its 1-year range.
  • SERV is in the upper 35% of its 20-day range.
  • SERV is in the upper 45% of its 5-day range.
  • SERV 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 SERV with the Ticky from Trade-Ideas. See the FREE profile for SERV NOW at Trade-Ideas

More details on SERV:

ServiceMaster Global Holdings, Inc. provides residential and commercial services in the United States. It operates in three segments: Terminix, American Home Shield, and the Franchise Services Group. SERV has a PE ratio of 32. Currently there are 4 analysts that rate ServiceMaster Global Holdings a buy, no analysts rate it a sell, and 2 rate it a hold.

The average volume for ServiceMaster Global Holdings has been 1.5 million shares per day over the past 30 days. ServiceMaster Global has a market cap of $5.4 billion and is part of the services sector and diversified services industry. The stock has a beta of 0.58 and a short float of 5.1% with 4.75 days to cover. Shares are up 2.4% year-to-date as of the close of trading on Tuesday.

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 ServiceMaster Global Holdings as a

buy

. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and reasonable valuation levels. We feel its strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

Highlights from the ratings report include:

  • The revenue growth came in higher than the industry average of 7.8%. Since the same quarter one year prior, revenues slightly increased by 6.5%. This growth in revenue appears to have trickled down to the company's bottom line, improving the 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. Although other factors naturally played a role, the company's strong earnings growth was key. Looking ahead, unless broad bear market conditions prevail, we still see more upside potential for this stock, despite the fact that it has already risen over the past year.
  • SERVICEMASTER GLOBAL HLDGS has improved earnings per share by 33.3% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past year. We feel that this trend should continue. During the past fiscal year, SERVICEMASTER GLOBAL HLDGS increased its bottom line by earning $1.19 versus $0.33 in the prior year. This year, the market expects an improvement in earnings ($2.05 versus $1.19).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Diversified Consumer Services industry. The net income increased by 39.3% when compared to the same quarter one year prior, rising from $28.00 million to $39.00 million.

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 ...