Trade-Ideas LLC identified
) as a weak on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Teck Resources as such a stock due to the following factors:
- TCK has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $40.1 million.
- TCK has traded 772,903 shares today.
- TCK is trading at 2.04 times the normal volume for the stock at this time of day.
- TCK is trading at a new low 5.03% 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 TCK:
Teck Resources Limited explores, develops, and produces natural resources in the Americas, the Asia Pacific, Europe, and Africa. Its principal products include copper, including copper concentrates and cathode copper; steelmaking coal; and refined zinc and zinc concentrates. The stock currently has a dividend yield of 4.5%. TCK has a PE ratio of 11. Currently there are 4 analysts that rate Teck Resources a buy, 2 analysts rate it a sell, and 5 rate it a hold.
The average volume for Teck Resources has been 6.8 million shares per day over the past 30 days. Teck has a market cap of $3.0 billion and is part of the basic materials sector and metals & mining industry. Shares are down 62.1% year-to-date as of the close of trading on Wednesday.
rates Teck Resources 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 attractive valuation levels. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, weak operating cash flow and a generally disappointing performance in the stock itself.
Highlights from the ratings report include:
- The current debt-to-equity ratio, 0.48, is low and is below the industry average, implying that there has been successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.27, which illustrates the ability to avoid short-term cash problems.
- Despite the weak revenue results, TCK has significantly outperformed against the industry average of 45.0%. Since the same quarter one year prior, revenues slightly dropped by 0.5%. The declining revenue appears to have seeped down to the company's bottom line, decreasing earnings per share.
- Net operating cash flow has decreased to $332.00 million or 23.85% when compared to the same quarter last year. In addition, when comparing the cash generation rate to the industry average, the firm's growth is significantly lower.
- TECK RESOURCES LTD's earnings per share declined by 21.4% in the most recent quarter compared to the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. During the past fiscal year, TECK RESOURCES LTD reported lower earnings of $0.63 versus $1.66 in the prior year.
- You can view the full Teck Resources Ratings Report.