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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

Grifols

(

GRFS

) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Grifols as such a stock due to the following factors:

  • GRFS has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $13.3 million.
  • GRFS has traded 117,576 shares today.
  • GRFS is trading at a new lifetime high.

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More details on GRFS:

Grifols, S.A., a specialty biopharmaceutical company, develops, manufactures, and distributes a range of plasma derivative products primarily in the European Union, Spain, the United States, and Canada. The stock currently has a dividend yield of 0.6%. Currently there are 3 analysts that rate Grifols a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Recommends

The average volume for Grifols has been 551,600 shares per day over the past 30 days. Grifols has a market cap of $12.1 billion and is part of the health care sector and drugs industry. Shares are up 37.7% year-to-date as of the close of trading on Friday.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Grifols as a

hold

. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance and impressive record of earnings per share growth. However, as a counter to these strengths, we also find weaknesses including weak operating cash flow and generally higher debt management risk.

Highlights from the ratings report include:

  • GRFS's revenue growth has slightly outpaced the industry average of 11.1%. Since the same quarter one year prior, revenues rose by 14.4%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Powered by its strong earnings growth of 55.39% and other important driving factors, this stock has surged by 46.29% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, our hold rating indicates that we do not recommend additional investment in this stock despite its gains in the past year.
  • Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. Compared to other companies in the Biotechnology industry and the overall market on the basis of return on equity, GRIFOLS SA has underperformed in comparison with the industry average, but has exceeded that of the S&P 500.
  • The debt-to-equity ratio of 1.39 is relatively high when compared with the industry average, suggesting a need for better debt level management. Even though the debt-to-equity ratio is weak, GRFS's quick ratio is somewhat strong at 1.49, demonstrating the ability to handle short-term liquidity needs.
  • Net operating cash flow has decreased to $130.36 million or 25.86% when compared to the same quarter last year. In addition, when comparing the cash generation rate to the industry average, the firm's growth is significantly lower.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

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