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 pre-market mover with heavy volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Solazyme as such a stock due to the following factors:
- SZYM has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $16.7 million.
- SZYM traded 168,643 shares today in the pre-market hours as of 8:26 AM, representing 11.2% of its average daily volume.
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More details on SZYM:
Solazyme, Inc. manufactures and sells renewable oils and other bioproducts. Its proprietary technology transforms a range of plant-based sugars into triglyceride oils and other bioproducts. Currently there are 7 analysts that rate Solazyme a buy, 1 analyst rates it a sell, and none rate it a hold.
The average volume for Solazyme has been 1.1 million shares per day over the past 30 days. Solazyme has a market cap of $914.1 million and is part of the basic materials sector and energy industry. The stock has a beta of 1.60 and a short float of 26.3% with 6.71 days to cover. Shares are up 20.2% year-to-date as of the close of trading on Tuesday.
rates Solazyme as a
. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity and feeble growth in its earnings per share.
Highlights from the ratings report include:
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed against the S&P 500 and did not exceed that of the Oil, Gas & Consumable Fuels industry. The net income has significantly decreased by 35.5% when compared to the same quarter one year ago, falling from -$24.61 million to -$33.34 million.
- Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market, SOLAZYME INC's return on equity significantly trails that of both the industry average and the S&P 500.
- SOLAZYME INC's earnings per share declined by 22.5% in the most recent quarter compared to the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. However, the consensus estimate suggests that this trend should reverse in the coming year. During the past fiscal year, SOLAZYME INC reported poor results of -$1.81 versus -$1.37 in the prior year. This year, the market expects an improvement in earnings (-$1.49 versus -$1.81).
- SZYM's debt-to-equity ratio of 0.67 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.
- Compared to its closing price of one year ago, SZYM's share price has jumped by 69.38%, exceeding the performance of the broader market during that same time frame. Regarding the future course of this stock, we feel that the risks involved in investing in SZYM do not compensate for any future upside potential, despite the fact that it has seen nice gains over the past 12 months.
- You can view the full Solazyme Ratings Report.