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 strong and under the radar candidate. In addition to specific proprietary factors, Trade-Ideas identified MWI Veterinary Supply as such a stock due to the following factors:
- MWIV has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $69.4 million.
- MWIV is making at least a new 3-day high.
- MWIV has a PE ratio of 33.6.
- MWIV is mentioned 1.74 times per day on StockTwits.
- MWIV has not yet been mentioned on StockTwits today.
- MWIV is currently in the upper 20% of its 1-year range.
- MWIV is in the upper 35% of its 20-day range.
- MWIV is in the upper 45% of its 5-day range.
- MWIV is currently trading above yesterday's high.
'Strong and Under the Radar' stocks tend to be worthwhile stocks to watch for a variety of factors including historical back testing and price action. Market technicians refer to such stocks as being in an accumulation phase before a mark-up and peak. Traders and hedge funds have frequently found that these types of stocks continue to build a solid price base and then ultimately spike higher and peak when others 'discover' how good the stock is performing. By leveraging the social discovery aspect of StockTwits we are highlighting stocks that don't currently receive much attention from retail investors, but we suspect may soon garner more attention.
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More details on MWIV:
MWI Veterinary Supply, Inc., together with its subsidiaries, distributes animal health products to veterinarians in the United States and the United Kingdom. MWIV has a PE ratio of 33.6. Currently there is 1 analyst that rates MWI Veterinary Supply a buy, no analysts rate it a sell, and 4 rate it a hold.
The average volume for MWI Veterinary Supply has been 188,300 shares per day over the past 30 days. MWI Veterinary Supply has a market cap of $2.4 billion and is part of the services sector and wholesale industry. The stock has a beta of 0.38 and a short float of 6.2% with 1.88 days to cover. Shares are up 11.6% year-to-date as of the close of trading on Friday.
rates MWI Veterinary Supply as a
. The company's strengths can be seen in multiple areas, such as its robust revenue growth, growth in earnings per share, increase in net income, good cash flow from operations and increase in stock price during the past year. 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 20.5%. Since the same quarter one year prior, revenues rose by 31.2%. Growth in the company's revenue appears to have helped boost the earnings per share.
- MWI VETERINARY SUPPLY has improved earnings per share by 21.4% 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, MWI VETERINARY SUPPLY increased its bottom line by earning $5.65 versus $4.95 in the prior year. This year, the market expects an improvement in earnings ($6.25 versus $5.65).
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and the Health Care Providers & Services industry average. The net income increased by 22.3% when compared to the same quarter one year prior, going from $14.22 million to $17.38 million.
- Net operating cash flow has significantly increased by 243.33% to $4.33 million when compared to the same quarter last year. In addition, MWI VETERINARY SUPPLY has also vastly surpassed the industry average cash flow growth rate of 53.34%.
- The stock price has risen over the past year, but, despite its earnings growth and some other positive factors, it has underperformed the S&P 500 so far. Looking ahead, unless broad bear market conditions prevail, we still see more upside potential for this stock, despite the fact that it has already risen over the past year.
- You can view the full MWI Veterinary Supply Ratings Report.