Trade-Ideas LLC identified
) as a strong on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Macquarie Infrastructure as such a stock due to the following factors:
- MIC has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $66.7 million.
- MIC has traded 65,087 shares today.
- MIC is trading at 3.91 times the normal volume for the stock at this time of day.
- MIC is trading at a new high 3.24% above yesterday's close.
'Strong on High Relative Volume' stocks are worth watching because major volume moves tend to indicate underlying activity such as M&A events, material stock news, analyst upgrades, insider buying, buying from 'superinvestors,' or that hedge funds and momentum traders are piling into a stock ahead of a catalyst. Regardless of the impetus behind the price and volume action, when a stock moves with strength and volume it can indicate the start of a new trend on which early investors can capitalize. In the event of a well-timed trading opportunity, combining technical indicators with fundamental trends and a disciplined trading methodology should help you take the first steps towards investment success.
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More details on MIC:
Macquarie Infrastructure Company LLC, through its subsidiaries, owns, operates, and invests in infrastructure businesses that provide services to businesses and individuals primarily in the United States. The stock currently has a dividend yield of 7.5%. MIC has a PE ratio of 15. Currently there are 5 analysts that rate Macquarie Infrastructure a buy, no analysts rate it a sell, and none rate it a hold.
The average volume for Macquarie Infrastructure has been 893,000 shares per day over the past 30 days. Macquarie Infrastructure has a market cap of $4.8 billion and is part of the services sector and transportation industry. The stock has a beta of 0.96 and a short float of 4.5% with 3.07 days to cover. Shares are down 16.1% year-to-date as of the close of trading on Friday.
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rates Macquarie Infrastructure as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins and largely solid financial position with reasonable debt levels by most measures. 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:
- MIC's revenue growth has slightly outpaced the industry average of 4.6%. Since the same quarter one year prior, revenues slightly increased by 7.0%. 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 gross profit margin for MACQUARIE INFRASTRUCTURE CP is rather high; currently it is at 56.85%. It has increased from the same quarter the previous year. Despite the strong results of the gross profit margin, MIC's net profit margin of 2.55% significantly trails the industry average.
- MIC'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. Regardless of the somewhat mixed results with the debt-to-equity ratio, the company's quick ratio of 0.77 is weak.
- 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 Transportation Infrastructure industry. The net income has significantly decreased by 98.9% when compared to the same quarter one year ago, falling from $990.99 million to $10.64 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 Transportation Infrastructure industry and the overall market, MACQUARIE INFRASTRUCTURE CP's return on equity significantly trails that of both the industry average and the S&P 500.
- You can view the full Macquarie Infrastructure Ratings Report.