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Trade-Ideas LLC identified

Pharmacyclics

(

PCYC

) as a post-market leader candidate. In addition to specific proprietary factors, Trade-Ideas identified Pharmacyclics as such a stock due to the following factors:

  • PCYC has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $171.3 million.
  • PCYC is up 4.5% today from today's close.

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More details on PCYC:

Pharmacyclics, Inc., a biopharmaceutical company, designs, develops, and commercializes small-molecule drugs for the treatment of cancer and immune mediated diseases in the United States and internationally. PCYC has a PE ratio of 68.2. Currently there are 10 analysts that rate Pharmacyclics a buy, no analysts rate it a sell, and 5 rate it a hold.

The average volume for Pharmacyclics has been 1.3 million shares per day over the past 30 days. Pharmacyclics has a market cap of $9.4 billion and is part of the health care sector and drugs industry. The stock has a beta of 1.18 and a short float of 10.6% with 4.64 days to cover. Shares are up 16.7% year-to-date as of the close of trading on Wednesday.

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TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Pharmacyclics as a

hold

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and notable return on equity. However, as a counter to these strengths, we also find weaknesses including poor profit margins and feeble growth in the company's earnings per share.

Highlights from the ratings report include:

  • PCYC's very impressive revenue growth greatly exceeded the industry average of 36.6%. Since the same quarter one year prior, revenues leaped by 4094.6%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • PCYC has no debt to speak of therefore resulting in a debt-to-equity ratio of zero, which we consider to be a relatively favorable sign. Along with this, the company maintains a quick ratio of 7.55, which clearly demonstrates the ability to cover short-term cash needs.
  • PHARMACYCLICS 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. We feel it is likely to report a decline in earnings in the coming year. During the past fiscal year, PHARMACYCLICS INC reported lower earnings of $0.80 versus $1.15 in the prior year. For the next year, the market is expecting a contraction of 42.5% in earnings ($0.46 versus $0.80).
  • The gross profit margin for PHARMACYCLICS INC is rather low; currently it is at 16.03%. Despite the low profit margin, it has increased significantly from the same period last year. Despite the mixed results of the gross profit margin, PCYC's net profit margin of 15.30% is significantly lower than the industry average.

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