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 strong and under the radar candidate. In addition to specific proprietary factors, Trade-Ideas identified Lexington Realty as such a stock due to the following factors:
- LXP has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $23.6 million.
- LXP is making at least a new 3-day high.
- LXP has a PE ratio of 102.6.
- LXP is mentioned 0.52 times per day on StockTwits.
- LXP has not yet been mentioned on StockTwits today.
- LXP is currently in the upper 20% of its 1-year range.
- LXP is in the upper 35% of its 20-day range.
- LXP is in the upper 45% of its 5-day range.
- LXP is currently trading above yesterday's high.
'Strong and Under the Radar' stocks tend to be worthwhile stocks to watch for a variety of factors including historical back testing and price action. Market technicians refer to such stocks as being in an accumulation phase before a mark-up and peak. Traders and hedge funds have frequently found that these types of stocks continue to build a solid price base and then ultimately spike higher and peak when others 'discover' how good the stock is performing. By leveraging the social discovery aspect of StockTwits we are highlighting stocks that don't currently receive much attention from retail investors, but we suspect may soon garner more attention.
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More details on LXP:
Lexington Corporate Properties Trust operates as a self-managed and self-administered real estate investment trust (REIT). The company acquires, owns, and manages a portfolio of office, industrial, and retail properties net-leased to corporate tenants in the United States. The stock currently has a dividend yield of 6%. LXP has a PE ratio of 102.6. Currently there are 3 analysts that rate Lexington Realty a buy, 1 analyst rates it a sell, and 4 rate it a hold.
The average volume for Lexington Realty has been 1.7 million shares per day over the past 30 days. Lexington has a market cap of $2.6 billion and is part of the financial sector and real estate industry. The stock has a beta of 1.02 and a short float of 2.9% with 2.59 days to cover. Shares are up 11.2% year-to-date as of the close of trading on Tuesday.
rates Lexington Realty as a
. The company's strengths can be seen in multiple areas, such as its robust revenue growth, expanding profit margins and compelling growth in net income. However, as a counter to these strengths, we find that the company's return on equity has been disappointing.
Highlights from the ratings report include:
- LXP's revenue growth has slightly outpaced the industry average of 13.6%. Since the same quarter one year prior, revenues rose by 18.8%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- 40.17% is the gross profit margin for LEXINGTON REALTY TRUST which we consider to be strong. It has increased from the same quarter the previous year. Along with this, the net profit margin of 36.83% significantly outperformed against the industry average.
- Net operating cash flow has slightly increased to $61.83 million or 3.17% when compared to the same quarter last year. Despite an increase in cash flow, LEXINGTON REALTY TRUST's average is still marginally south of the industry average growth rate of 6.46%.
- LEXINGTON REALTY TRUST 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, LEXINGTON REALTY TRUST swung to a loss, reporting -$0.16 versus $0.90 in the prior year. This year, the market expects an improvement in earnings ($0.31 versus -$0.16).
- 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 Real Estate Investment Trusts (REITs) industry and the overall market, LEXINGTON REALTY TRUST's return on equity significantly trails that of both the industry average and the S&P 500.
- You can view the full Lexington Realty Ratings Report.