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 laggard candidate. In addition to specific proprietary factors, Trade-Ideas identified Royal Dutch Shell as such a stock due to the following factors:
- RDS.A has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $306.0 million.
- RDS.A traded 25,349 shares today in the pre-market hours as of 7:47 AM.
- RDS.A is down 2.3% today from yesterday's close.
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More details on RDS.A:
Royal Dutch Shell plc operates as an independent oil and gas company worldwide. The company explores for and extracts crude oil, natural gas, and natural gas liquids. The stock currently has a dividend yield of 4.8%. RDS.A has a PE ratio of 8.4.
The average volume for Royal Dutch Shell has been 3.7 million shares per day over the past 30 days. Royal Dutch Shell has a market cap of $211.5 billion and is part of the basic materials sector and energy industry. Shares are down 0.4% year-to-date as of the close of trading on Tuesday.
rates Royal Dutch Shell as a
. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had sub par growth in net income.
Highlights from the ratings report include:
- Net operating cash flow has increased to $12,811.00 million or 23.07% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -2.29%.
- RDS.A's debt-to-equity ratio is very low at 0.24 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Although the company had a strong debt-to-equity ratio, its quick ratio of 0.88 is somewhat weak and could be cause for future problems.
- ROYAL DUTCH SHELL PLC's earnings per share declined by 6.7% in the most recent quarter compared to the same quarter a year ago. The company has suffered a declining pattern of earnings per share over the past two years. However, we anticipate this trend to reverse over the coming year. During the past fiscal year, ROYAL DUTCH SHELL PLC reported lower earnings of $5.18 versus $8.52 in the prior year. This year, the market expects an improvement in earnings ($14.29 versus $5.18).
- RDS.A, with its decline in revenue, slightly underperformed the industry average of 6.7%. Since the same quarter one year prior, revenues slightly dropped by 7.4%. The declining revenue appears to have seeped down to the company's bottom line, decreasing earnings per share.
- You can view the full Royal Dutch Shell Ratings Report.