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 Google ( GOOG) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Google as such a stock due to the following factors:
- GOOG has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $2.0 billion.
- GOOG has traded 1.3 million shares today.
- GOOG is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in GOOG with the Ticky from Trade-Ideas. See the FREE profile for GOOG NOW at Trade-Ideas More details on GOOG: Google Inc., a technology company, builds products and provides services to organize the information and make it universally accessible and useful. GOOG has a PE ratio of 27.2. Currently there are 24 analysts that rate Google a buy, no analysts rate it a sell, and 6 rate it a hold. The average volume for Google has been 1.9 million shares per day over the past 30 days. Google has a market cap of $242.9 billion and is part of the technology sector and internet industry. The stock has a beta of 0.97 and a short float of 2% with 2.69 days to cover. Shares are up 25.4% 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 Google 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, reasonable valuation levels, good cash flow from operations and increase in stock price during the past year. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook. Highlights from the ratings report include:
- Despite its growing revenue, the company underperformed as compared with the industry average of 22.7%. Since the same quarter one year prior, revenues rose by 19.5%. 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.
- GOOG'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. Along with this, the company maintains a quick ratio of 4.08, which clearly demonstrates the ability to cover short-term cash needs.
- Net operating cash flow has increased to $4,705.00 million or 10.65% when compared to the same quarter last year. Despite an increase in cash flow, GOOGLE INC's average is still marginally south of the industry average growth rate of 14.22%.
- Compared to where it was a year ago today, the stock is now trading at a higher level, regardless of the company's weak earnings results. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year.
- You can view the full Google Ratings Report.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.