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 post-market leader candidate. In addition to specific proprietary factors, Trade-Ideas identified TIBCO Software as such a stock due to the following factors:
- TIBX has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $63.2 million.
- TIBX is up 8.9% today from today's close.
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More details on TIBX:
TIBCO Software Inc. provides middleware and infrastructure software worldwide. It offers products in the areas of service-oriented architecture (SOA) and core infrastructure; business optimization; and process automation and collaboration. TIBX has a PE ratio of 42.2. Currently there are 12 analysts that rate TIBCO Software a buy, no analysts rate it a sell, and 7 rate it a hold.
The average volume for TIBCO Software has been 2.4 million shares per day over the past 30 days. TIBCO Software has a market cap of $3.8 billion and is part of the technology sector and computer software & services industry. The stock has a beta of 1.88 and a short float of 3.2% with 1.19 days to cover. Shares are up 5.3% year to date as of the close of trading on Monday.
rates TIBCO Software as a
. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures and expanding profit margins. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.
Highlights from the ratings report include:
- TIBCO SOFTWARE INC has exprienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from 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, TIBCO SOFTWARE INC increased its bottom line by earning $0.72 versus $0.65 in the prior year. This year, the market expects an improvement in earnings ($0.98 versus $0.72).
- TIBX's debt-to-equity ratio of 0.61 is somewhat low overall, but it is high when compared to the industry average, implying that the management of the debt levels should be evaluated further. Despite the fact that TIBX's debt-to-equity ratio is mixed in its results, the company's quick ratio of 2.34 is high and demonstrates strong liquidity.
- The gross profit margin for TIBCO SOFTWARE INC is currently very high, coming in at 73.26%. Regardless of TIBX's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, TIBX's net profit margin of 3.54% is significantly lower than the industry average.
- TIBX, with its decline in revenue, slightly underperformed the industry average of 8.5%. Since the same quarter one year prior, revenues slightly dropped by 0.6%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
- The share price of TIBCO SOFTWARE INC has not done very well: it is down 22.89% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. Despite the decline in its share price over the last year, this stock is still more expensive (when compared to its current earnings) than most other companies in its industry. We feel, however, that other strengths this company displays compensate for this.
- You can view the full TIBCO Software Ratings Report.