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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 JDS Uniphase Corp (CA as such a stock due to the following factors:
- JDSU has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $27.8 million.
- JDSU has traded 1.5 million shares today.
- JDSU traded in a range 212% of the normal price range with a price range of $0.63.
- JDSU traded above its daily resistance level (quality: 3 days, meaning that the stock is crossing a resistance level set by the last 3 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 JDSU:
JDS Uniphase Corporation provides network and service enablement solutions and optical products worldwide. Currently there are 6 analysts that rate JDS Uniphase Corp (CA a buy, no analysts rate it a sell, and 7 rate it a hold.
The average volume for JDS Uniphase Corp (CA has been 2.7 million shares per day over the past 30 days. JDS Uniphase Corp (CA has a market cap of $3.1 billion and is part of the technology sector and telecommunications industry. The stock has a beta of 1.52 and a short float of 5.3% with 4.80 days to cover. Shares are down 2.9% year-to-date as of the close of trading on Thursday.
rates JDS Uniphase Corp (CA as a
. The company's strengths can be seen in multiple areas, such as its expanding profit margins and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow.
Highlights from the ratings report include:
- The gross profit margin for JDS UNIPHASE CORP is rather high; currently it is at 53.31%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of -5.74% is in-line with the industry average.
- Despite currently having a low debt-to-equity ratio of 0.48, it is higher than that of the industry average, inferring that management of debt levels may need to be evaluated further. Even though the debt-to-equity ratio shows mixed results, the company's quick ratio of 2.94 is very high and demonstrates very strong liquidity.
- JDSU, with its decline in revenue, slightly underperformed the industry average of 0.5%. Since the same quarter one year prior, revenues slightly dropped by 2.3%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
- Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Communications Equipment industry and the overall market, JDS UNIPHASE CORP's return on equity significantly trails that of both the industry average and the S&P 500.
- Net operating cash flow has significantly decreased to $16.60 million or 69.48% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
- You can view the full JDS Uniphase Corp (CA Ratings Report.