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 new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Werner as such a stock due to the following factors:
- WERN has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $12.5 million.
- WERN has traded 19,274 shares today.
- WERN is trading at a new lifetime high.
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More details on WERN:
Werner Enterprises, Inc., a transportation and logistics company, is engaged in hauling truckload shipments of general commodities in interstate and intrastate commerce. The company operates in two segments, Truckload Transportation Services and Value Added Services. The stock currently has a dividend yield of 0.7%. WERN has a PE ratio of 23.5. Currently there are 2 analysts that rate Werner a buy, 2 analysts rate it a sell, and 8 rate it a hold.
The average volume for Werner has been 513,900 shares per day over the past 30 days. Werner has a market cap of $2.0 billion and is part of the services sector and transportation industry. The stock has a beta of 0.18 and a short float of 8.6% with 8.96 days to cover. Shares are up 15% year-to-date as of the close of trading on Wednesday.
rates Werner as a
. The company's strengths can be seen in multiple areas, such as its increase in net income, revenue growth, largely solid financial position with reasonable debt levels by most measures, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.
Highlights from the ratings report include:
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and the Road & Rail industry average. The net income increased by 22.2% when compared to the same quarter one year prior, going from $21.26 million to $25.97 million.
- Despite its growing revenue, the company underperformed as compared with the industry average of 10.5%. Since the same quarter one year prior, revenues slightly increased by 7.9%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- WERN's debt-to-equity ratio is very low at 0.09 and is currently below that of the industry average, implying that there has been very successful management of debt levels. To add to this, WERN has a quick ratio of 1.51, which demonstrates the ability of the company to cover short-term liquidity needs.
- The stock has not only risen over the past year, it has done so at a faster pace than the S&P 500, reflecting the earnings growth and other positive factors similar to those we have cited here. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year.
- Net operating cash flow has increased to $74.67 million or 24.06% when compared to the same quarter last year. In addition, WERNER ENTERPRISES INC has also modestly surpassed the industry average cash flow growth rate of 20.86%.
- You can view the full Werner Ratings Report.