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 "dead cat bounce" (down big yesterday but up big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified Macro Bank as such a stock due to the following factors:
- BMA has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $12.7 million.
- BMA has traded 390,461 shares today.
- BMA is up 3.3% today.
- BMA was down 9.1% yesterday.
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More details on BMA:
Banco Macro S.A. provides various banking products and services to individuals, entrepreneurs, companies, and corporate customers in Argentina. The stock currently has a dividend yield of 2.7%. BMA has a PE ratio of 2.1. Currently there are 2 analysts that rate Macro Bank a buy, no analysts rate it a sell, and 1 rates it a hold.
The average volume for Macro Bank has been 248,100 shares per day over the past 30 days. Macro has a market cap of $2.4 billion and is part of the financial sector and banking industry. Shares are up 56.9% year-to-date as of the close of trading on Monday.
rates Macro Bank as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, solid stock price performance, impressive record of earnings per share growth and compelling growth in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow.
Highlights from the ratings report include:
- The revenue growth came in higher than the industry average of 4.6%. Since the same quarter one year prior, revenues rose by 15.4%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Commercial Banks industry and the overall market, BANCO MACRO SA's return on equity significantly exceeds that of both the industry average and the S&P 500.
- Powered by its strong earnings growth of 67.32% and other important driving factors, this stock has surged by 180.98% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, BMA should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- BANCO MACRO SA 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 two years. We feel that this trend should continue. During the past fiscal year, BANCO MACRO SA increased its bottom line by earning $6.44 versus $5.19 in the prior year. This year, the market expects an improvement in earnings ($6.73 versus $6.44).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Commercial Banks industry. The net income increased by 67.0% when compared to the same quarter one year prior, rising from $89.48 million to $149.48 million.
- You can view the full Macro Bank Ratings Report.