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 Stryker Corporation ( SYK) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Stryker Corporation as such a stock due to the following factors:
- SYK has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $89.4 million.
- SYK has traded 2.1 million shares today.
- SYK is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in SYK with the Ticky from Trade-Ideas. See the FREE profile for SYK NOW at Trade-Ideas More details on SYK: Stryker Corporation, a medical technology company, provides reconstructive, medical and surgical, and neurotechnology and spine products for doctors, hospitals, and other healthcare facilities. The stock currently has a dividend yield of 1.6%. SYK has a PE ratio of 32.3. Currently there are 13 analysts that rate Stryker Corporation a buy, 1 analyst rates it a sell, and 10 rate it a hold. The average volume for Stryker Corporation has been 1.3 million shares per day over the past 30 days. Stryker has a market cap of $28.5 billion and is part of the health care sector and health services industry. The stock has a beta of 1.05 and a short float of 1.4% with 4.11 days to cover. Shares are up 0.8% year-to-date as of the close of trading on Tuesday. 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 Stryker Corporation as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and feeble growth in the company's earnings per share. Highlights from the ratings report include:
- SYK's revenue growth has slightly outpaced the industry average of 3.5%. Since the same quarter one year prior, revenues slightly increased by 4.8%. 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 current debt-to-equity ratio, 0.32, is low and is below the industry average, implying that there has been successful management of debt levels. Along with this, the company maintains a quick ratio of 2.80, which clearly demonstrates the ability to cover short-term cash needs.
- The gross profit margin for STRYKER CORP is currently very high, coming in at 70.71%. It has increased from the same quarter the previous year. Despite the strong results of the gross profit margin, SYK's net profit margin of 4.78% significantly trails the industry average.
- 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 Health Care Equipment & Supplies industry. The net income has significantly decreased by 70.8% when compared to the same quarter one year ago, falling from $353.00 million to $103.00 million.
- Current return on equity is lower than its ROE from the same quarter one year prior. This is a clear sign of weakness within the company. When compared to other companies in the Health Care Equipment & Supplies industry and the overall market, STRYKER CORP's return on equity is below that of both the industry average and the S&P 500.
- You can view the full Stryker Corporation 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.