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

United Continental Holdings

(

UAL

) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified United Continental Holdings as such a stock due to the following factors:

  • UAL has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $434.0 million.
  • UAL has traded 24,291 shares today.
  • UAL is trading at a new lifetime high.

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More details on UAL:

United Continental Holdings, Inc., through its subsidiaries, provides passenger and cargo transportation services. The company transports people and cargo through its mainline operations, which use jet aircraft with 118 seats, and its regional operations. UAL has a PE ratio of 16.3. Currently there are 10 analysts that rate United Continental Holdings a buy, 2 analysts rate it a sell, and none rate it a hold.

TheStreet Recommends

The average volume for United Continental Holdings has been 6.4 million shares per day over the past 30 days. United Continental has a market cap of $19.3 billion and is part of the services sector and transportation industry. The stock has a beta of 0.07 and a short float of 4% with 1.61 days to cover. Shares are up 38.1% year-to-date as of the close of trading on Wednesday.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates United Continental Holdings as a

buy

. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income, revenue growth and solid stock price performance. We feel these strengths outweigh the fact that the company shows low profit margins.

Highlights from the ratings report include:

  • UNITED CONTINENTAL HLDGS 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 year. We feel that this trend should continue. During the past fiscal year, UNITED CONTINENTAL HLDGS INC turned its bottom line around by earning $1.30 versus -$2.32 in the prior year. This year, the market expects an improvement in earnings ($5.02 versus $1.30).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Airlines industry. The net income increased by 143.8% when compared to the same quarter one year prior, rising from $379.00 million to $924.00 million.
  • The revenue growth significantly trails the industry average of 36.7%. Since the same quarter one year prior, revenues slightly increased by 3.3%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Powered by its strong earnings growth of 141.83% and other important driving factors, this stock has surged by 59.67% over the past year, outperforming the rise in the S&P 500 Index during the same period. Looking ahead, the stock's sharp rise over the last year has already helped drive it to a level which is relatively expensive compared to the rest of its industry. We feel, however, that other strengths this company displays justify these higher price levels.
  • The gross profit margin for UNITED CONTINENTAL HLDGS INC is currently lower than what is desirable, coming in at 27.42%. Regardless of UAL's low profit margin, it has managed to increase from the same period last year. Despite the mixed results of the gross profit margin, UAL's net profit margin of 8.74% compares favorably to the industry average.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

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