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 LyondellBasell Industries ( LYB) as a pre-market laggard candidate. In addition to specific proprietary factors, Trade-Ideas identified LyondellBasell Industries as such a stock due to the following factors:
- LYB has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $203.4 million.
- LYB traded 15,050 shares today in the pre-market hours as of 9:28 AM.
- LYB is down 2.9% today from Friday's close.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in LYB with the Ticky from Trade-Ideas. See the FREE profile for LYB NOW at Trade-Ideas More details on LYB: LyondellBasell Industries N.V., together with its subsidiaries, manufacturers and sells chemicals and polymers; refines crude oil; produces gasoline blending components; and develops and licenses technologies for the production of polymers. The stock currently has a dividend yield of 2.8%. LYB has a PE ratio of 12.6. Currently there are 10 analysts that rate LyondellBasell Industries a buy, no analysts rate it a sell, and 3 rate it a hold. The average volume for LyondellBasell Industries has been 3.6 million shares per day over the past 30 days. LyondellBasell has a market cap of $41.3 billion and is part of the basic materials sector and chemicals industry. The stock has a beta of 2.34 and a short float of 2.3% with 3.37 days to cover. Shares are up 26.9% 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 LyondellBasell Industries as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company shows low profit margins. Highlights from the ratings report include:
- Investors have apparently begun to recognize positive factors similar to those we have mentioned in this report, including earnings growth. This has helped drive up the company's shares by a sharp 44.99% over the past year, a rise that has exceeded that of the S&P 500 Index. Regarding the stock's future course, although almost any stock can fall in a broad market decline, LYB should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- LYONDELLBASELL INDUSTRIES NV has improved earnings per share by 20.3% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past year. We feel that this trend should continue. During the past fiscal year, LYONDELLBASELL INDUSTRIES NV increased its bottom line by earning $4.97 versus $4.25 in the prior year. This year, the market expects an improvement in earnings ($6.20 versus $4.97).
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and greatly outperformed compared to the Chemicals industry average. The net income increased by 20.6% when compared to the same quarter one year prior, going from $770.00 million to $929.00 million.
- The current debt-to-equity ratio, 0.37, is low and is below the industry average, implying that there has been successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.44, which illustrates the ability to avoid short-term cash problems.
- Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. When compared to other companies in the Chemicals industry and the overall market, LYONDELLBASELL INDUSTRIES NV's return on equity exceeds that of the industry average and significantly exceeds that of the S&P 500.
- You can view the full LyondellBasell Industries 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.