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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

Westmoreland Coal

(

WLB

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

  • WLB has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $10.5 million.
  • WLB has traded 1,365 shares today.
  • WLB is trading at a new lifetime high.

EXCLUSIVE OFFER: Get the inside scoop on opportunities in WLB with the Ticky from Trade-Ideas. See the FREE profile for WLB NOW at Trade-Ideas

More details on WLB:

Westmoreland Coal Company operates as an energy company in the United States. The company is engaged in the production and sale of sub-bituminous coal and lignite to plants that generate electricity. It owns six surface coal mines in Montana, Wyoming, North Dakota, and Texas. Currently there is 1 analyst that rates Westmoreland Coal a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Recommends

The average volume for Westmoreland Coal has been 170,000 shares per day over the past 30 days. Westmoreland Coal has a market cap of $633.6 million and is part of the basic materials sector and metals & mining industry. The stock has a beta of 2.86 and a short float of 3.8% with 2.89 days to cover. Shares are up 112.5% year-to-date as of the close of trading on Monday.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Westmoreland Coal as a

hold

. The company's strengths can be seen in multiple areas, such as its robust revenue growth and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, poor profit margins and weak operating cash flow.

Highlights from the ratings report include:

  • WLB's very impressive revenue growth greatly exceeded the industry average of 3.6%. Since the same quarter one year prior, revenues leaped by 77.2%. 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, WLB's share price has jumped by 221.40%, 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.
  • WESTMORELAND COAL CO 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. We feel it is likely to report a decline in earnings in the coming year. During the past fiscal year, WESTMORELAND COAL CO continued to lose money by earning -$0.42 versus -$0.63 in the prior year. For the next year, the market is expecting a contraction of 731.0% in earnings (-$3.49 versus -$0.42).
  • The gross profit margin for WESTMORELAND COAL CO is currently extremely low, coming in at 4.06%. It has decreased significantly from the same period last year. Along with this, the net profit margin of -21.93% is significantly below that of the industry average.
  • Net operating cash flow has significantly decreased to -$19.08 million or 239.15% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

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