Trade-Ideas LLC identified

Costamare

(

CMRE

) as a strong on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Costamare as such a stock due to the following factors:

  • CMRE has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $4.0 million.
  • CMRE has traded 64,749 shares today.
  • CMRE is trading at 5.49 times the normal volume for the stock at this time of day.
  • CMRE is trading at a new high 4.28% 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 CMRE:

COSTAMARE INC. owns and charters containerships to liner companies worldwide. The stock currently has a dividend yield of 12.1%. CMRE has a PE ratio of 6. Currently there are 3 analysts that rate Costamare a buy, 2 analysts rate it a sell, and 2 rate it a hold.

The average volume for Costamare has been 219,000 shares per day over the past 30 days. Costamare has a market cap of $720.9 million and is part of the services sector and transportation industry. The stock has a beta of 1.49 and a short float of 0.2% with 0.17 days to cover. Shares are down 45.6% year-to-date as of the close of trading on Thursday.

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TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Costamare as a

hold

. The company's strengths can be seen in multiple areas, such as its notable return on equity and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk, weak operating cash flow and a generally disappointing performance in the stock itself.

Highlights from the ratings report include:

  • The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Marine industry and the overall market, COSTAMARE INC's return on equity exceeds that of both the industry average and the S&P 500.
  • The gross profit margin for COSTAMARE INC is currently very high, coming in at 72.84%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 28.07% significantly outperformed against the industry average.
  • Despite the weak revenue results, CMRE has outperformed against the industry average of 16.2%. Since the same quarter one year prior, revenues slightly dropped by 0.6%. The declining revenue appears to have seeped down to the company's bottom line, decreasing earnings per share.
  • Net operating cash flow has declined marginally to $59.35 million or 9.75% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
  • Currently the debt-to-equity ratio of 1.72 is quite high overall and when compared to the industry average, suggesting that the current management of debt levels should be re-evaluated. To add to this, CMRE has a quick ratio of 0.55, this demonstrates the lack of ability of the company to cover short-term liquidity needs.

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