Trade-Ideas LLC identified

Installed Building Products

(

IBP

) as a strong and under the radar candidate. In addition to specific proprietary factors, Trade-Ideas identified Installed Building Products as such a stock due to the following factors:

  • IBP has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $9.2 million.
  • IBP has traded 10.2387999999999994571453498792834579944610595703125 options contracts today.
  • IBP is making at least a new 3-day high.
  • IBP has a PE ratio of 36.
  • IBP is mentioned 1.52 times per day on StockTwits.
  • IBP has not yet been mentioned on StockTwits today.
  • IBP is currently in the upper 20% of its 1-year range.
  • IBP is in the upper 35% of its 20-day range.
  • IBP is in the upper 45% of its 5-day range.
  • IBP is currently trading above yesterday's high.

'Strong and Under the Radar' stocks tend to be worthwhile stocks to watch for a variety of factors including historical back testing and price action. Market technicians refer to such stocks as being in an accumulation phase before a mark-up and peak. Traders and hedge funds have frequently found that these types of stocks continue to build a solid price base and then ultimately spike higher and peak when others 'discover' how good the stock is performing. By leveraging the social discovery aspect of StockTwits we are highlighting stocks that don't currently receive much attention from retail investors, but we suspect may soon garner more attention.

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More details on IBP:

Installed Building Products, Inc., together with its subsidiaries, engages in the installation of insulation, garage doors, rain gutters, shower doors, closet shelving and mirrors, and other products in the continental United States. IBP has a PE ratio of 36. Currently there are 4 analysts that rate Installed Building Products a buy, no analysts rate it a sell, and 1 rates it a hold.

The average volume for Installed Building Products has been 221,700 shares per day over the past 30 days. Installed Building has a market cap of $1.1 billion and is part of the industrial goods sector and materials & construction industry. Shares are up 47.1% year-to-date as of the close of trading on Thursday.

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TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Installed Building Products as a

buy

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, notable return on equity, good cash flow from operations, impressive record of earnings per share growth and compelling growth in net income. We feel its strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.

Highlights from the ratings report include:

  • The revenue growth greatly exceeded the industry average of 3.6%. Since the same quarter one year prior, revenues rose by 47.5%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • INSTALLED BLDG PRODUCTS INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, INSTALLED BLDG PRODUCTS INC increased its bottom line by earning $0.85 versus $0.44 in the prior year. This year, the market expects an improvement in earnings ($1.50 versus $0.85).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Household Durables industry. The net income increased by 368.0% when compared to the same quarter one year prior, rising from $1.24 million to $5.81 million.
  • Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. When compared to other companies in the Household Durables industry and the overall market, INSTALLED BLDG PRODUCTS INC's return on equity exceeds that of the industry average and significantly exceeds that of the S&P 500.
  • Net operating cash flow has significantly increased by 231.27% to $19.83 million when compared to the same quarter last year. In addition, INSTALLED BLDG PRODUCTS INC has also vastly surpassed the industry average cash flow growth rate of 48.33%.

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