Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.
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 Cousins Properties as such a stock due to the following factors:
- CUZ has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $27.9 million.
- CUZ has traded 650,831 shares today.
- CUZ traded in a range 250.9% of the normal price range with a price range of $0.44.
- CUZ traded above its daily resistance level (quality: 20 days, meaning that the stock is crossing a resistance level set by the last 20 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 CUZ:
Cousins Properties Incorporated, a real estate investment trust (REIT), owns, develops, and manages real estate portfolio, as well as performs certain real estate-related services in the United States. The stock currently has a dividend yield of 2.4%. CUZ has a PE ratio of 53.9. Currently there are 4 analysts that rate Cousins Properties a buy, 1 analyst rates it a sell, and 2 rate it a hold.
The average volume for Cousins Properties has been 2.0 million shares per day over the past 30 days. Cousins has a market cap of $2.3 billion and is part of the financial sector and real estate industry. The stock has a beta of 1.02 and a short float of 5.9% with 3.66 days to cover. Shares are up 14.5% year-to-date as of the close of trading on Monday.
rates Cousins Properties as a
. The company's strengths can be seen in multiple areas, such as its robust revenue growth, reasonable valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity and poor profit margins.
Highlights from the ratings report include:
- CUZ's very impressive revenue growth greatly exceeded the industry average of 11.4%. Since the same quarter one year prior, revenues leaped by 98.2%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- Compared to where it was a year ago today, the stock is now trading at a higher level, reflecting both the market's overall trend during that period and the fact that the company's earnings growth has been robust. Despite the fact that it has already risen in the past year, there is currently no conclusive evidence that warrants the purchase or sale of this stock.
- COUSINS PROPERTIES INC reported significant earnings per share improvement 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. During the past fiscal year, COUSINS PROPERTIES INC increased its bottom line by earning $0.73 versus $0.12 in the prior year.
- Current return on equity is lower than its ROE from the same quarter one year prior. This is a clear sign of weakness within the company. Compared to other companies in the Real Estate Investment Trusts (REITs) industry and the overall market on the basis of return on equity, COUSINS PROPERTIES INC underperformed against that of the industry average and is significantly less than that of the S&P 500.
- The gross profit margin for COUSINS PROPERTIES INC is currently extremely low, coming in at 8.86%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of 2.87% significantly trails the industry average.
- You can view the full Cousins Properties Ratings Report.