Skip to main content

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

CalAmp Corporation

(

CAMP

) as a "perilous reversal" (up big yesterday but down big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified CalAmp Corporation as such a stock due to the following factors:

  • CAMP has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $16.6 million.
  • CAMP has traded 362,794 shares today.
  • CAMP is down 3.1% today.
  • CAMP was up 8.7% yesterday.

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

More details on CAMP:

CalAmp Corp. develops and markets wireless communications solutions that deliver data, voice, and video for critical networked communication and other applications primarily in the United States. CAMP has a PE ratio of 12.2. Currently there are 4 analysts that rate CalAmp Corporation a buy, no analysts rate it a sell, and none rate it a hold.

The average volume for CalAmp Corporation has been 276,300 shares per day over the past 30 days. CalAmp has a market cap of $600.3 million and is part of the technology sector and telecommunications industry. The stock has a beta of 0.56 and a short float of 3.9% with 1.75 days to cover. Shares are up 105.5% year to date as of the close of trading on Friday.

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 CalAmp Corporation as a

buy

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

Highlights from the ratings report include:

  • CAMP's revenue growth has slightly outpaced the industry average of 29.8%. Since the same quarter one year prior, revenues rose by 33.7%. 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.
  • CAMP's debt-to-equity ratio is very low at 0.06 and is currently below that of the industry average, implying that there has been very successful management of debt levels. To add to this, CAMP has a quick ratio of 1.53, which demonstrates the ability of the company to cover short-term liquidity needs.
  • 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. Compared to other companies in the Communications Equipment industry and the overall market, CALAMP CORP's return on equity significantly exceeds that of both the industry average and the S&P 500.
  • Compared to its closing price of one year ago, CAMP's share price has jumped by 132.57%, exceeding the performance of the broader market during that same time frame. Turning to the future, naturally, any stock can fall in a major bear market. However, in almost any other environment, the stock should continue to move higher despite the fact that it has already enjoyed nice gains in the past year.
  • Net operating cash flow has significantly increased by 100.00% to $8.03 million when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of 89.44%.

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

null

TheStreet Daily Newsletter

Want TheStreet’s best daily stock and investing news right in your inbox every weekday? Get our free flagship newsletter.

Sign Up Now