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 weak on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Gramercy Property as such a stock due to the following factors:
- GPT has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $11.2 million.
- GPT has traded 307,893 shares today.
- GPT is trading at 9.06 times the normal volume for the stock at this time of day.
- GPT is trading at a new low 4.01% below yesterday's close.
'Weak on High Relative Volume' stocks are worth watching because major volume moves tend to indicate underlying activity such as material stock news, analyst downgrades, insider selling, selling from 'superinvestors,' or that hedge funds and traders are piling out of a stock ahead of a catalyst. Regardless of the impetus behind the price and volume action, when a stock moves with strength and volume it can indicate the start of a new trend on which early investors can capitalize (or avoid losses by trimming weak positions). In the event of a well-timed trading opportunity, combining technical indicators with fundamental trends and a disciplined trading methodology should help you take the first steps towards investment success.
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More details on GPT:
Gramercy Property Trust Inc is an equity real estate investment trust. The firm invests in the real estate markets of the United States. It makes investments in industrial and office properties to create its portfolio. The firm was formerly known as Gramercy Capital Corp. The stock currently has a dividend yield of 2.8%. GPT has a PE ratio of 14.3. Currently there are 2 analysts that rate Gramercy Property a buy, no analysts rate it a sell, and none rate it a hold.
The average volume for Gramercy Property has been 2.3 million shares per day over the past 30 days. Gramercy Property has a market cap of $1.3 billion and is part of the financial sector and real estate industry. The stock has a beta of 1.40 and a short float of 4.4% with 5.01 days to cover. Shares are up 4.9% year-to-date as of the close of trading on Thursday.
rates Gramercy Property as a
. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income and poor profit margins.
Highlights from the ratings report include:
- GPT's very impressive revenue growth greatly exceeded the industry average of 3.1%. Since the same quarter one year prior, revenues leaped by 138.8%. 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 its closing price of one year ago, GPT's share price has jumped by 25.39%, exceeding the performance of the broader market during that same time frame. Regarding the stock's future course, our hold rating indicates that we do not recommend additional investment in this stock despite its gains in the past year.
- GRAMERCY PROPERTY TRUST INC has experienced 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, GRAMERCY PROPERTY TRUST INC continued to lose money by earning -$0.25 versus -$0.48 in the prior year. This year, the market expects an improvement in earnings ($0.49 versus -$0.25).
- The gross profit margin for GRAMERCY PROPERTY TRUST INC is currently extremely low, coming in at 7.80%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -6.84% is significantly below that of the industry average.
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Real Estate Investment Trusts (REITs) industry. The net income has significantly decreased by 579.4% when compared to the same quarter one year ago, falling from $0.49 million to -$2.35 million.
- You can view the full Gramercy Property Ratings Report.