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 eHealth ( EHTH) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified eHealth as such a stock due to the following factors:
- EHTH has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $9.8 million.
- EHTH has traded 200,682 shares today.
- EHTH is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in EHTH with the Ticky from Trade-Ideas. See the FREE profile for EHTH NOW at Trade-Ideas More details on EHTH: eHealth, Inc. provides online private health insurance services for individuals, families, and small businesses in the United States. EHTH has a PE ratio of 117.0. Currently there are 4 analysts that rate eHealth a buy, no analysts rate it a sell, and 2 rate it a hold. The average volume for eHealth has been 107,700 shares per day over the past 30 days. eHealth has a market cap of $624.9 million and is part of the financial sector and insurance industry. The stock has a beta of 0.60 and a short float of 9.5% with 3.35 days to cover. Shares are up 23.5% 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 eHealth as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, premium valuation and weak operating cash flow. Highlights from the ratings report include:
- The revenue growth came in higher than the industry average of 7.7%. Since the same quarter one year prior, revenues rose by 12.1%. 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.
- The gross profit margin for EHEALTH INC is currently very high, coming in at 99.41%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 2.87% trails the industry average.
- Compared to its closing price of one year ago, EHTH's share price has jumped by 68.78%, exceeding the performance of the broader market during that same time frame. Setting our sights on the months ahead, however, we feel that the stock's sharp appreciation over the last year has driven it to a price level which is now relatively expensive compared to the rest of its industry. The implication is that its reduced upside potential is not good enough to warrant further investment at this time.
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed against the S&P 500 and did not exceed that of the Insurance industry. The net income has significantly decreased by 50.3% when compared to the same quarter one year ago, falling from $2.31 million to $1.15 million.
- You can view the full eHealth 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.