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Trade-Ideas LLC identified
) as a "barbarian at the gate" (strong stocks crossing above resistance with today's range greater than 200%) candidate. In addition to specific proprietary factors, Trade-Ideas identified Biomarin Pharmaceutical as such a stock due to the following factors:
- BMRN has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $84.3 million.
- BMRN has traded 2.5 million shares today.
- BMRN traded in a range 204.5% of the normal price range with a price range of $5.14.
- BMRN traded above its daily resistance level (quality: 529 days, meaning that the stock is crossing a resistance level set by the last 529 calendar days. The resistance price is defined by the Price - $0.01 at the time of the signal).
Stocks matching the 'Barbarian at the Gate' criteria are worthwhile stocks to watch for a variety of factors including historical back testing and volatility. Trade-Ideas targets these opportunities because the stock is exhibiting an unusual behavior while displaying positive price action. In this case, the stock crossed an important inflection point; namely, 'resistance' while at the same time the range of the stock's movement in price is more than twice its normal size. This large range foreshadows a possible continuation as the stock moves higher.
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More details on BMRN:
BioMarin Pharmaceutical Inc. develops and commercializes biopharmaceuticals for serious diseases and medical conditions in the United States, Europe, Latin America, and internationally. Currently there are 12 analysts that rate Biomarin Pharmaceutical a buy, no analysts rate it a sell, and 4 rate it a hold.
The average volume for Biomarin Pharmaceutical has been 1.1 million shares per day over the past 30 days. Biomarin has a market cap of $12.5 billion and is part of the health care sector and drugs industry. Shares are up 20% year-to-date as of the close of trading on Friday.
rates Biomarin Pharmaceutical as a
. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, robust revenue growth and largely solid financial position with reasonable debt levels by most measures. 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:
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Biotechnology industry. The net income increased by 114.0% when compared to the same quarter one year prior, rising from -$53.02 million to $7.45 million.
- BMRN's revenue growth trails the industry average of 40.8%. Since the same quarter one year prior, revenues rose by 29.2%. Growth in the company's revenue appears to have helped boost the earnings per share.
- Net operating cash flow has increased to -$8.36 million or 11.96% when compared to the same quarter last year. Despite an increase in cash flow of 11.96%, BIOMARIN PHARMACEUTICAL INC is still growing at a significantly lower rate than the industry average of 119.00%.
- BIOMARIN PHARMACEUTICAL INC reported significant earnings per share improvement 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, BIOMARIN PHARMACEUTICAL INC reported poor results of -$1.29 versus -$0.95 in the prior year. This year, the market expects an improvement in earnings (-$1.08 versus -$1.29).
- The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Biotechnology industry and the overall market, BIOMARIN PHARMACEUTICAL INC's return on equity significantly trails that of both the industry average and the S&P 500.
- You can view the full Biomarin Pharmaceutical Ratings Report.