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 RPM International ( RPM) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified RPM International as such a stock due to the following factors:
- RPM has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $38.3 million.
- RPM has traded 693,986 shares today.
- RPM is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in RPM with the Ticky from Trade-Ideas. See the FREE profile for RPM NOW at Trade-Ideas More details on RPM: RPM International Inc. manufactures, markets, and sells specialty chemical products for industrial and consumer markets in the United States and internationally. The company operates through two segments, Industrial and Consumer. The stock currently has a dividend yield of 2.5%. RPM has a PE ratio of 48.3. Currently there are 4 analysts that rate RPM International a buy, no analysts rate it a sell, and 5 rate it a hold. The average volume for RPM International has been 440,400 shares per day over the past 30 days. RPM International has a market cap of $4.8 billion and is part of the basic materials sector and chemicals industry. The stock has a beta of 1.19 and a short float of 0.6% with 0.75 days to cover. Shares are up 21.8% 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 RPM International as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income, expanding profit margins, solid stock price performance and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Highlights from the ratings report include:
- RPM's revenue growth has slightly outpaced the industry average of 2.6%. Since the same quarter one year prior, revenues rose by 11.0%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Chemicals industry. The net income increased by 204.0% when compared to the same quarter one year prior, rising from $33.91 million to $103.10 million.
- 44.09% is the gross profit margin for RPM INTERNATIONAL INC which we consider to be strong. 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 8.85% trails the industry average.
- Powered by its strong earnings growth of 196.15% and other important driving factors, this stock has surged by 35.35% over the past year, outperforming the rise in the S&P 500 Index during the same period. We feel that the stock's sharp appreciation over the last year has driven it to a price level which is now somewhat expensive compared to the rest of its industry. The other strengths this company shows, however, justify the higher price levels.
- RPM INTERNATIONAL INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, RPM INTERNATIONAL INC reported lower earnings of $0.73 versus $1.65 in the prior year. This year, the market expects an improvement in earnings ($2.07 versus $0.73).
- You can view the full RPM International 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.