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 American Financial Group as such a stock due to the following factors:
- AFG has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $11.7 million.
- AFG has traded 107,843 shares today.
- AFG is trading at a new lifetime high.
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More details on AFG:
American Financial Group, Inc., through its subsidiaries, provides property and casualty insurance products in the United States. The company operates in Property and Casualty Insurance, and Annuity segments. The stock currently has a dividend yield of 1.6%. AFG has a PE ratio of 14.0. Currently there are 5 analysts that rate American Financial Group a buy, no analysts rate it a sell, and 1 rates it a hold.
The average volume for American Financial Group has been 324,400 shares per day over the past 30 days. American Financial Group has a market cap of $5.0 billion and is part of the financial sector and insurance industry. The stock has a beta of 0.83 and a short float of 0.6% with 2.31 days to cover. Shares are up 42.9% year to date as of the close of trading on Tuesday.
rates American Financial Group as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income.
Highlights from the ratings report include:
- The revenue growth came in higher than the industry average of 9.2%. Since the same quarter one year prior, revenues slightly increased by 4.3%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
- AFG's debt-to-equity ratio is very low at 0.20 and is currently below that of the industry average, implying that there has been very successful management of debt levels.
- Compared to its closing price of one year ago, AFG's share price has jumped by 51.68%, exceeding the performance of the broader market during that same time frame. Regarding the stock's future course, although almost any stock can fall in a broad market decline, AFG should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- AMERICAN FINANCIAL GROUP INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. This company has reported somewhat volatile earnings recently. We feel it is likely to report a decline in earnings in the coming year. During the past fiscal year, AMERICAN FINANCIAL GROUP INC increased its bottom line by earning $5.08 versus $3.33 in the prior year. For the next year, the market is expecting a contraction of 17.8% in earnings ($4.18 versus $5.08).
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Insurance industry. The net income has significantly decreased by 63.3% when compared to the same quarter one year ago, falling from $226.00 million to $83.00 million.
- You can view the full American Financial Group Ratings Report.