Trade-Ideas LLC identified

St Jude Medical

(

STJ

) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified St Jude Medical as such a stock due to the following factors:

  • STJ has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $160.6 million.
  • STJ has traded 12,952 shares today.
  • STJ is trading at a new lifetime high.

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More details on STJ:

St. Jude Medical, Inc., together with its subsidiaries, develops, manufactures, and distributes cardiovascular medical devices for cardiac rhythm management, cardiovascular, and atrial fibrillation therapy areas worldwide. The stock currently has a dividend yield of 1.5%. STJ has a PE ratio of 33. Currently there is 1 analyst that rates St Jude Medical a buy, no analysts rate it a sell, and 18 rate it a hold.

The average volume for St Jude Medical has been 3.5 million shares per day over the past 30 days. St Jude Medical has a market cap of $23.3 billion and is part of the health care sector and health services industry. The stock has a beta of 1.14 and a short float of 3% with 4.19 days to cover. Shares are up 33% year-to-date as of the close of trading on Tuesday.

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TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates St Jude Medical as a

buy

. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, expanding profit margins and notable return on equity. We feel its strengths outweigh the fact that the company has had sub par growth in net income.

Highlights from the ratings report include:

  • STJ's revenue growth has slightly outpaced the industry average of 5.7%. Since the same quarter one year prior, revenues rose by 10.8%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
  • Compared to where it was a year ago today, the stock is now trading at a higher level, regardless of the company's weak earnings results. 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.
  • The gross profit margin for ST JUDE MEDICAL INC is rather high; currently it is at 66.33%. Regardless of STJ's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 15.23% trails the industry average.
  • ST JUDE MEDICAL INC's earnings per share declined by 18.6% in the most recent quarter compared to the same quarter a year ago. The company has suffered a declining pattern of earnings per share over the past year. However, we anticipate this trend reversing over the coming year. During the past fiscal year, ST JUDE MEDICAL INC reported lower earnings of $3.08 versus $3.45 in the prior year. This year, the market expects an improvement in earnings ($4.06 versus $3.08).
  • Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Health Care Equipment & Supplies industry and the overall market, ST JUDE MEDICAL INC's return on equity exceeds that of both the industry average and the S&P 500.

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