Meta Financial Group Inc. Stock Upgraded (CASH)

NEW YORK ( TheStreet) -- Meta Financial Group (Nasdaq: CASH) has been upgraded by TheStreet Ratings from hold to buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, attractive valuation levels, solid stock price performance and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

Highlights from the ratings report include:
  • The revenue growth greatly exceeded the industry average of 19.6%. Since the same quarter one year prior, revenues rose by 27.6%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. In comparison to the other companies in the Thrifts & Mortgage Finance industry and the overall market, META FINANCIAL GROUP INC's return on equity significantly exceeds that of the industry average and is above that of the S&P 500.
  • Powered by its strong earnings growth of 252.27% and other important driving factors, this stock has surged by 56.30% 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, CASH should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • META FINANCIAL GROUP INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has not demonstrated a clear trend in earnings over the past two years, making it difficult to accurately predict earnings for the coming year. During the past fiscal year, META FINANCIAL GROUP INC reported lower earnings of $1.48 versus $4.11 in the prior year.
.

Meta Financial Group, Inc. operates as the holding company for MetaBank, which offers various banking products and services in northwest Iowa, Brookings, central Iowa, and Sioux Empire markets. The company has a P/E ratio of 9.6, equal to the average banking industry P/E ratio and below the S&P 500 P/E ratio of 17.7. Meta Financial Group has a market cap of $68.6 million and is part of the financial sector and banking industry. Shares are up 29.1% year to date as of the close of trading on Friday.

You can view the full Meta Financial Group Ratings Report or get investment ideas from our investment research center.
-- Written by a member of TheStreet RatingsStaff
null