RSP Permian (RSPP) Hits New Lifetime High
Trade-Ideas LLC identified
(
) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified RSP Permian as such a stock due to the following factors:
- RSPP has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $43.2 million.
- RSPP has traded 13,475 shares today.
- RSPP is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in RSPP with the Ticky from Trade-Ideas. See the FREE profile for RSPP NOW at Trade-Ideas
More details on RSPP:
RSP Permian, Inc., an independent oil and natural gas company, engages in the acquisition, exploration, development, and production of unconventional oil and associated liquids-rich natural gas reserves in the Permian Basin of West Texas. RSPP has a PE ratio of 81. Currently there are 14 analysts that rate RSP Permian a buy, no analysts rate it a sell, and 3 rate it a hold.
The average volume for RSP Permian has been 1.6 million shares per day over the past 30 days. RSP Permian has a market cap of $3.3 billion and is part of the basic materials sector and energy industry. Shares are up 32.6% year-to-date as of the close of trading on Tuesday.
EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.
Analysis:
rates RSP Permian as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity.
Highlights from the ratings report include:
- The revenue growth greatly exceeded the industry average of 24.6%. Since the same quarter one year prior, revenues slightly increased by 8.6%. 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.
- The current debt-to-equity ratio, 0.37, is low and is below the industry average, implying that there has been successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.38, which illustrates the ability to avoid short-term cash problems.
- Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period, despite the company's weak earnings results. Despite the fact that it has already risen in the past year, there is currently no conclusive evidence that warrants the purchase or sale of this stock.
- RSP PERMIAN INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. Earnings per share have declined over the last year. We anticipate that this should continue in the coming year. During the past fiscal year, RSP PERMIAN INC reported poor results of -$0.19 versus -$0.07 in the prior year. For the next year, the market is expecting a contraction of 42.1% in earnings (-$0.27 versus -$0.19).
- 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 Oil, Gas & Consumable Fuels industry. The net income has significantly decreased by 1600.8% when compared to the same quarter one year ago, falling from -$1.02 million to -$17.42 million.
- You can view the full RSP Permian Ratings Report.
EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.
