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 Infosys ( INFY) as a pre-market mover with heavy volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Infosys as such a stock due to the following factors:
- INFY has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $53.5 million.
- INFY traded 480,360 shares today in the pre-market hours as of 8:00 AM, representing 52.2% of its average daily volume.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in INFY with the Ticky from Trade-Ideas. See the FREE profile for INFY NOW at Trade-Ideas More details on INFY: Infosys Limited provides business consulting, technology, engineering, and outsourcing services worldwide. The stock currently has a dividend yield of 1.3%. INFY has a PE ratio of 18.7. Currently there are 5 analysts that rate Infosys a buy, 1 analyst rates it a sell, and 6 rate it a hold. The average volume for Infosys has been 994,800 shares per day over the past 30 days. Infosys has a market cap of $32.0 billion and is part of the technology sector and computer software & services industry. Shares are down 1.5% year-to-date as of the close of trading on Wednesday. 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 Infosys as a buy. 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, reasonable valuation levels, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Highlights from the ratings report include:
- The revenue growth greatly exceeded the industry average of 22.7%. Since the same quarter one year prior, revenues rose by 15.0%. 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.
- INFY has no debt to speak of therefore resulting in a debt-to-equity ratio of zero, which we consider to be a relatively favorable sign. Along with this, the company maintains a quick ratio of 4.14, which clearly demonstrates the ability to cover short-term cash needs.
- Net operating cash flow has increased to $554.00 million or 22.83% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -13.18%.
- INFY's share price has surged by 29.56% over the past year, reflecting the market's general trend, despite their weak earnings growth during the last quarter. Regarding the stock's future course, although almost any stock can fall in a broad market decline, INFY should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- You can view the full Infosys 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.