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 "perilous reversal" (up big yesterday but down big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified IGI as such a stock due to the following factors:
- IG has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $14.0 million.
- IG has traded 142,301 shares today.
- IG is down 3.3% today.
- IG was up 7.3% yesterday.
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More details on IG:
IGI Laboratories, Inc. develops, manufactures, and markets topical formulations in the United States. The company sells its generic topical pharmaceutical products under the IGI label. Currently there are 3 analysts that rate IGI a buy, no analysts rate it a sell, and none rate it a hold.
The average volume for IGI has been 731,700 shares per day over the past 30 days. IGI has a market cap of $360.0 million and is part of the health care sector and drugs industry. The stock has a beta of 0.55 and a short float of 1.9% with 0.96 days to cover. Shares are up 124.9% year-to-date as of the close of trading on Monday.
rates IGI as a
. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and expanding profit margins. However, as a counter to these strengths, we find that we feel that the company's cash flow from its operations has been weak overall.
Highlights from the ratings report include:
- IG's very impressive revenue growth greatly exceeded the industry average of 8.7%. Since the same quarter one year prior, revenues leaped by 69.7%. This growth in revenue does not appear to have trickled down to the company's bottom line, displaying stagnant earnings per share.
- Compared to its closing price of one year ago, IG's share price has jumped by 252.35%, exceeding the performance of the broader market during that same time frame. Regarding the stock's future course, our hold rating indicates that we do not recommend additional investment in this stock despite its gains in the past year.
- Despite currently having a low debt-to-equity ratio of 0.38, it is higher than that of the industry average, inferring that management of debt levels may need to be evaluated further. Despite the fact that IG's debt-to-equity ratio is mixed in its results, the company's quick ratio of 1.52 is high and demonstrates strong liquidity.
- The company, on the basis of net income growth from the same quarter one year ago, has significantly underperformed compared to the Personal Products industry average, but is greater than that of the S&P 500. The net income increased by 14.4% when compared to the same quarter one year prior, going from -$0.40 million to -$0.35 million.
- Net operating cash flow has significantly decreased to -$0.53 million or 182.89% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
- You can view the full IGI Ratings Report.