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.

Trade-Ideas LLC identified

MarineMax

(

HZO

) as a "dead cat bounce" (down big yesterday but up big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified MarineMax as such a stock due to the following factors:

  • HZO has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $14.8 million.
  • HZO has traded 383,256 shares today.
  • HZO is up 3.1% today.
  • HZO was down 6.2% yesterday.

EXCLUSIVE OFFER: Get the inside scoop on opportunities in HZO with the Ticky from Trade-Ideas. See the FREE profile for HZO NOW at Trade-Ideas

More details on HZO:

MarineMax, Inc. operates as a recreational boat and yacht retailer in the United States. It sells new and used recreational boats, including pleasure boats, such as sport boats, sport cruisers, sport yachts, and yachts; fishing boats; convertible yachts; motor yachts; jet boats; and ski boats. HZO has a PE ratio of 34.9. Currently there are 5 analysts that rate MarineMax a buy, no analysts rate it a sell, and 2 rate it a hold.

The average volume for MarineMax has been 336,400 shares per day over the past 30 days. MarineMax has a market cap of $614.6 million and is part of the services sector and specialty retail industry. The stock has a beta of 0.51 and a short float of 7.9% with 3.34 days to cover. Shares are up 14.1% year-to-date as of the close of trading on Friday.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates MarineMax as a

buy

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, compelling growth in net income, largely solid financial position with reasonable debt levels by most measures, solid stock price performance and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company shows low profit margins.

Highlights from the ratings report include:

  • The revenue growth came in higher than the industry average of 12.6%. Since the same quarter one year prior, revenues rose by 26.0%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Specialty Retail industry. The net income increased by 119.7% when compared to the same quarter one year prior, rising from -$1.98 million to $0.39 million.
  • Powered by its strong earnings growth of 125.00% and other important driving factors, this stock has surged by 57.21% over the past year, outperforming the rise in the S&P 500 Index during the same period. We feel that the stock's sharp appreciation over the last year has driven it to a price level which is now somewhat expensive compared to the rest of its industry. The other strengths this company shows, however, justify the higher price levels.
  • MARINEMAX INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, MARINEMAX INC reported lower earnings of $0.46 versus $0.60 in the prior year. This year, the market expects an improvement in earnings ($0.98 versus $0.46).
  • The debt-to-equity ratio is somewhat low, currently at 0.68, and is less than that of the industry average, implying that there has been a relatively successful effort in the management of debt levels. Even though the company has a strong debt-to-equity ratio, the quick ratio of 0.31 is very weak and demonstrates a lack of ability to pay short-term obligations.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

null