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 post-market laggard candidate. In addition to specific proprietary factors, Trade-Ideas identified TIBCO Software as such a stock due to the following factors:
- TIBX has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $62.1 million.
- TIBX is down 4.2% today from today's close.
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More details on TIBX:
TIBCO Software Inc. provides infrastructure and business intelligence software worldwide. The company offers products in the areas of integration and core infrastructure; business optimization; and process automation and collaboration. TIBX has a PE ratio of 45.7. Currently there are 3 analysts that rate TIBCO Software a buy, 1 analyst rates it a sell, and 9 rate it a hold.
The average volume for TIBCO Software has been 2.6 million shares per day over the past 30 days. TIBCO Software has a market cap of $3.6 billion and is part of the technology sector and computer software & services industry. The stock has a beta of 1.98 and a short float of 1.7% with 2.03 days to cover. Shares are down 4.2% year-to-date as of the close of trading on Tuesday.
rates TIBCO Software 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 expanding profit margins. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, deteriorating net income and disappointing return on equity.
Highlights from the ratings report include:
- Despite its growing revenue, the company underperformed as compared with the industry average of 11.9%. Since the same quarter one year prior, revenues slightly increased by 2.6%. 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.
- Despite currently having a low debt-to-equity ratio of 0.58, it is higher than that of the industry average, inferring that management of debt levels may need to be evaluated further. Despite the fact that TIBX's debt-to-equity ratio is mixed in its results, the company's quick ratio of 1.90 is high and demonstrates strong liquidity.
- The gross profit margin for TIBCO SOFTWARE INC is currently very high, coming in at 72.52%. Regardless of TIBX's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, TIBX's net profit margin of 0.61% is significantly lower than the industry average.
- Net operating cash flow has decreased to $18.05 million or 27.37% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
- The share price of TIBCO SOFTWARE INC has not done very well: it is down 11.39% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. Looking ahead, we do not see anything in this company's numbers that would change the one-year trend. It was down over the last twelve months; and it could be down again in the next twelve. Naturally, a bull or bear market could sway the movement of this stock.
- You can view the full TIBCO Software Ratings Report.