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

Spreadtrum Communications

(

SPRD

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

  • SPRD has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $19.4 million.
  • SPRD has traded 246,997 shares today.
  • SPRD is trading at a new lifetime high.

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More details on SPRD:

Spreadtrum Communications, Inc., a fabless semiconductor company, engages in the design, development, and marketing of mobile chipset platforms for smartphones, feature phones, and other consumer electronics products in Hong Kong, Mailand China, and others. The stock currently has a dividend yield of 1.2%. SPRD has a PE ratio of 14.3. Currently there is 1 analyst that rates Spreadtrum Communications a buy, no analysts rate it a sell, and 4 rate it a hold.

The average volume for Spreadtrum Communications has been 507,100 shares per day over the past 30 days. Spreadtrum has a market cap of $1.5 billion and is part of the technology sector and electronics industry. Shares are up 73.2% year-to-date as of the close of trading on Wednesday.

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TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Spreadtrum Communications as a

buy

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, attractive valuation levels, increase in net income and expanding profit margins. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results.

Highlights from the ratings report include:

  • SPRD's very impressive revenue growth greatly exceeded the industry average of 10.0%. Since the same quarter one year prior, revenues leaped by 56.1%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Powered by its strong earnings growth of 45.45% and other important driving factors, this stock has surged by 91.83% 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, SPRD should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Semiconductors & Semiconductor Equipment industry. The net income increased by 53.4% when compared to the same quarter one year prior, rising from $23.24 million to $35.65 million.
  • 37.45% is the gross profit margin for SPREADTRUM COMMUNICATNS -ADR which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 12.15% trails the industry average.

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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