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Fast-growth stocks are in the spotlight again.
These companies are projected by analysts to increase revenue and profit by at least 12% in the coming year and receive "buy"-ratings from TheStreet.com Ratings' proprietary quantitative model, which considers more than 60 factors. They are ordered by their potential to appreciate.
is a for-profit post-secondary education company that offers a variety of academic programs through Strayer University.
Fiscal first-quarter revenue increased 28% to $125 million on higher student enrollment and a 50% jump in tuition since January. Net income rose 24% to $29 million, and earnings per share improved by 26% to $2.07. Return on equity jumped 1,692 basis points to 60%. Strayer has no debt and a quick ratio of 1.47, indicating an ideal financial position.
Strayer has fallen 2% in 2009, outperforming the
Dow Jones Industrial Average
and underperforming the
S&P 500 Index
. Yet the shares are trading at a high price-to-earnings ratio of 35. Its 1% dividend yield is below the S&P 500 average.
National Presto Industries
makes small appliances, and defense and absorbent products.
Fiscal first-quarter revenue increased 40% to $108 million as net income and earnings per share ascended 74% to $11 million and $1.58, respectively. Return on equity advanced 254 basis points to 17%. The company has no debt or interest expenses and abundant cash reserves, as reflected by a quick ratio of 3.57.
National Presto is down 3% in 2009, in line with the Dow. The shares trade at a price-to-earnings ratio of just 11 and offer a 1.3% dividend yield.
is an Israeli-based company that develops and markets a range of generic and branded pharmaceuticals, biogenerics and active pharmaceutical ingredients.
Fiscal first-quarter revenue advanced 22% to $3.14 billion as net income surged 225% to $451 million, and earnings per share climbed 183% to 51 cents. Return on equity fell 631 basis points to 5.8%. The company has conservative leverage, as reflected by a debt-to-equity ratio of 0.52. But a quick ratio of 0.76 indicates a less-than-ideal liquidity position.
Teva is up 16% in 2009, outperforming all major U.S. indexes. The shares trade at a price-to-earnings ratio of about 48, a significant premium to the company's peers, and offer a modest 1.22% dividend yield.
develops and markets health care information systems in the U.S.
Fiscal fourth-quarter revenue rose 29% to $66 million as net income inched up 0.9% to $11 million, and earnings per share fell 2.4% to 40 cents on a higher share count. Return on equity declined 560 basis points to 30%. The company has a strong financial position, with zero debt and ample cash reserves.
Quality Systems has risen 28% in 2009, outperforming all major U.S. indexes. The shares trade at a price-to-earnings ratio of about 34, a sizable premium to the market, and pays a 2.14% dividend yield.
Medco Health Solutions
is one of the nation's largest pharmacy-benefit managers.
Fiscal first-quarter revenue rose 14% to $14.8 billion, beating the industry average growth rate of 1.1%. Net income increased 8% to $291 million, as earnings per share improved 16% to 58 cents. Return on equity rose 382 basis points to 19% on a lower share count. The company has an adequate liquidity position and conservative leverage.
Medco has risen 6.5% in 2009, outperforming the Dow and S&P 500. The shares are trading at a price-to-earnings ratio of about 20, a premium to its peers in the health care services industry.
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A rating can be viewed for any stock through our
. Each rating is derived from a variety of fundamental and pricing figures and represents our opinion of risk-adjusted performance relative to a 5,000+ stock coverage universe. However, the rating does not incorporate all factors that can alter a stock's performance, such as corporate or industry events, technology innovations and shifts in competitive dynamics.