Trade-Ideas LLC identified

Tivo

(

TIVO

) as a "perilous reversal" (up big yesterday but down big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified Tivo as such a stock due to the following factors:

  • TIVO has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $18.9 million.
  • TIVO has traded 199,723 shares today.
  • TIVO is down 4.1% today.
  • TIVO was up 23.4% yesterday.

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More details on TIVO:

TiVo Inc. provides television software services and cloud-based software-as-a-service solutions that enable to view video content through various screens. TIVO has a PE ratio of 34. Currently there are 7 analysts that rate Tivo a buy, no analysts rate it a sell, and 4 rate it a hold.

The average volume for Tivo has been 965,000 shares per day over the past 30 days. Tivo has a market cap of $766.1 million and is part of the services sector and media industry. The stock has a beta of 1.16 and a short float of 6.2% with 2.74 days to cover. Shares are down 11.2% year-to-date as of the close of trading on Wednesday.

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TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Tivo as a

hold

. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow.

Highlights from the ratings report include:

  • The revenue growth came in higher than the industry average of 4.4%. Since the same quarter one year prior, revenues slightly increased by 7.9%. 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.
  • TIVO's debt-to-equity ratio of 0.92 is somewhat low overall, but it is high when compared to the industry average, implying that the management of the debt levels should be evaluated further. Despite the fact that TIVO's debt-to-equity ratio is mixed in its results, the company's quick ratio of 1.88 is high and demonstrates strong liquidity.
  • 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 Software industry. The net income has significantly decreased by 97.2% when compared to the same quarter one year ago, falling from $7.06 million to $0.20 million.
  • The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. When compared to other companies in the Software industry and the overall market, TIVO INC's return on equity is below that of both the industry average and the S&P 500.

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