NEW YORK (
) has been upgraded by TheStreet Ratings from hold to buy. 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 attractive valuation levels. We feel these strengths outweigh the fact that the company shows weak operating cash flow.
Highlights from the ratings report include:
- Powered by its strong earnings growth of 750.00% and other important driving factors, this stock has surged by 51.42% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, VIDE should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- VIDEO DISPLAY CORP reported significant earnings per share improvement 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. During the past fiscal year, VIDEO DISPLAY CORP increased its bottom line by earning $0.28 versus $0.11 in the prior year.
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Computers & Peripherals industry. The net income increased by 400.2% when compared to the same quarter one year prior, rising from -$0.42 million to $1.26 million.
- The revenue growth significantly trails the industry average of 72.9%. Since the same quarter one year prior, revenues rose by 22.2%. Growth in the company's revenue appears to have helped boost the earnings per share.
Video Display Corporation designs, engineers, manufactures, markets, distributes, and installs display products and systems, and components for government, military, aerospace, medical, and commercial organizations worldwide. The company has a P/E ratio of 12.1, below the average computer hardware industry P/E ratio of 14.5 and below the S&P 500 P/E ratio of 17.7. Video Display has a market cap of $46.3 million and is part of the
industry. Shares are down 0.8% year to date as of the close of trading on Tuesday.
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-- Written by a member of TheStreet RatingsStaff