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 new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified RLJ Lodging as such a stock due to the following factors:
- RLJ has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $32.1 million.
- RLJ has traded 15,917 shares today.
- RLJ is trading at a new lifetime high.
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More details on RLJ:
RLJ Lodging Trust is an independent equity real estate investment trust. The firm also manages real estate funds. It invests in the real estate markets of the United States. The firm primarily invests in premium-branded, focused service, and compact full-service hotels. The stock currently has a dividend yield of 3.2%. RLJ has a PE ratio of 29.8. Currently there are 6 analysts that rate RLJ Lodging a buy, no analysts rate it a sell, and 1 rates it a hold.
The average volume for RLJ Lodging has been 657,300 shares per day over the past 30 days. RLJ has a market cap of $3.3 billion and is part of the financial sector and real estate industry. The stock has a beta of 1.29 and a short float of 3.2% with 2.63 days to cover. Shares are up 12% year-to-date as of the close of trading on Thursday.
rates RLJ Lodging as a
. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, revenue growth and reasonable valuation levels. We feel these strengths outweigh the fact that the company shows weak operating cash flow.
Highlights from the ratings report include:
- The stock has risen over the past year as investors have generally rewarded the company for its earnings growth and other positive factors like the ones we have cited in this report. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year.
- RLJ LODGING TRUST has improved earnings per share by 25.0% 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 two years. We feel that this trend should continue. During the past fiscal year, RLJ LODGING TRUST increased its bottom line by earning $0.87 versus $0.40 in the prior year. This year, the market expects an improvement in earnings ($1.15 versus $0.87).
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and greatly outperformed compared to the Real Estate Investment Trusts (REITs) industry average. The net income increased by 40.5% when compared to the same quarter one year prior, rising from $8.49 million to $11.93 million.
- Despite its growing revenue, the company underperformed as compared with the industry average of 10.1%. Since the same quarter one year prior, revenues slightly increased by 10.0%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- You can view the full RLJ Lodging Ratings Report.