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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

Heartland Payment Systems

(

HPY

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

  • HPY has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $23.9 million.
  • HPY has traded 427,647 shares today.
  • HPY is trading at a new lifetime high.

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More details on HPY:

Heartland Payment Systems, Inc. provides bankcard payment processing services in the United States and Canada. The stock currently has a dividend yield of 0.6%. HPY has a PE ratio of 24.9. Currently there are 5 analysts that rate Heartland Payment Systems a buy, 1 analyst rates it a sell, and 9 rate it a hold.

TheStreet Recommends

The average volume for Heartland Payment Systems has been 372,900 shares per day over the past 30 days. Heartland Payment Systems has a market cap of $1.7 billion and is part of the services sector and diversified services industry. The stock has a beta of 0.77 and a short float of 29.5% with 15.85 days to cover. Shares are up 64.4% 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 Heartland Payment Systems 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, increase in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins.

Highlights from the ratings report include:

  • The revenue growth came in higher than the industry average of 22.8%. Since the same quarter one year prior, revenues slightly increased by 5.0%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Investors have apparently begun to recognize positive factors similar to those we have mentioned in this report, including earnings growth. This has helped drive up the company's shares by a sharp 54.17% over the past year, a rise that has exceeded that of the S&P 500 Index. Regarding the stock's future course, although almost any stock can fall in a broad market decline, HPY should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • HEARTLAND PAYMENT SYSTEMS has improved earnings per share by 23.4% 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 two years. We feel that this trend should continue. During the past fiscal year, HEARTLAND PAYMENT SYSTEMS increased its bottom line by earning $1.61 versus $1.10 in the prior year. This year, the market expects an improvement in earnings ($2.33 versus $1.61).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the IT Services industry average, but is less than that of the S&P 500. The net income increased by 13.4% when compared to the same quarter one year prior, going from $19.38 million to $21.98 million.
  • Net operating cash flow has increased to $58.71 million or 14.31% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -13.92%.

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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