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 Sun Communities as such a stock due to the following factors:
- SUI has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $16.3 million.
- SUI is making at least a new 3-day high.
- SUI has a PE ratio of 122.0.
- SUI is mentioned 0.81 times per day on StockTwits.
- SUI has not yet been mentioned on StockTwits today.
- SUI is currently in the upper 20% of its 1-year range.
- SUI is in the upper 35% of its 20-day range.
- SUI is in the upper 45% of its 5-day range.
- SUI 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 SUI:
Sun Communities, Inc. operates as a real estate investment trust (REIT). It owns, operates, and develops manufactured housing communities in the midwestern, southern, and southeastern United States. The stock currently has a dividend yield of 4.8%. SUI has a PE ratio of 122.0. Currently there is 1 analyst that rates Sun Communities a buy, 1 analyst rates it a sell, and none rate it a hold.
The average volume for Sun Communities has been 258,900 shares per day over the past 30 days. Sun has a market cap of $2.1 billion and is part of the financial sector and real estate industry. The stock has a beta of 0.76 and a short float of 6.6% with 5.82 days to cover. Shares are up 22.5% year-to-date as of the close of trading on Monday.
rates Sun Communities as a
. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and impressive record of earnings per share growth. However, as a counter to these strengths, we also find weaknesses including poor profit margins and weak operating cash flow.
Highlights from the ratings report include:
- SUI's revenue growth has slightly outpaced the industry average of 11.4%. Since the same quarter one year prior, revenues rose by 15.1%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. Looking ahead, our view is that this company's fundamentals will not have much impact in either direction, allowing the stock to generally move up or down based on the push and pull of the broad market.
- The gross profit margin for SUN COMMUNITIES INC is rather low; currently it is at 22.06%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of 5.56% significantly trails the industry average.
- Net operating cash flow has declined marginally to $32.44 million or 1.12% when compared to the same quarter last year. In addition, when comparing the cash generation rate to the industry average, the firm's growth is significantly lower.
- You can view the full Sun Communities Ratings Report.