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 Cornerstone OnDemand ( CSOD) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Cornerstone OnDemand as such a stock due to the following factors:
- CSOD has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $19.2 million.
- CSOD has traded 378,145 shares today.
- CSOD is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in CSOD with the Ticky from Trade-Ideas. See the FREE profile for CSOD NOW at Trade-Ideas More details on CSOD: Cornerstone OnDemand, Inc. provides talent management solutions delivered as software-as-a-service. It offers four integrated clouds for recruiting, learning management, performance management, and extended enterprise. Currently there are 6 analysts that rate Cornerstone OnDemand a buy, no analysts rate it a sell, and 2 rate it a hold. The average volume for Cornerstone OnDemand has been 499,500 shares per day over the past 30 days. Cornerstone OnDemand has a market cap of $2.8 billion and is part of the technology sector and computer software & services industry. The stock has a beta of 1.25 and a short float of 8.2% with 7.74 days to cover. Shares are up 1.1% 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 Cornerstone OnDemand as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity and generally high debt management risk. Highlights from the ratings report include:
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Internet Software & Services industry. The net income has significantly decreased by 44.9% when compared to the same quarter one year ago, falling from -$7.63 million to -$11.05 million.
- Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Internet Software & Services industry and the overall market, CORNERSTONE ONDEMAND INC's return on equity significantly trails that of both the industry average and the S&P 500.
- The debt-to-equity ratio is very high at 4.15 and currently higher than the industry average, implying increased risk associated with the management of debt levels within the company. Regardless of the company's weak debt-to-equity ratio, CSOD has managed to keep a strong quick ratio of 2.10, which demonstrates the ability to cover short-term cash needs.
- CORNERSTONE ONDEMAND INC's earnings per share declined by 40.0% 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, CORNERSTONE ONDEMAND INC continued to lose money by earning -$0.63 versus -$1.36 in the prior year. This year, the market expects an improvement in earnings (-$0.21 versus -$0.63).
- The gross profit margin for CORNERSTONE ONDEMAND INC is currently very high, coming in at 76.50%. 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 -22.90% is in-line with the industry average.
- You can view the full Cornerstone OnDemand 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.