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 Cynosure Inc. Class A ( CYNO) as a pre-market mover with heavy volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Cynosure Inc. Class A as such a stock due to the following factors:
- CYNO has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $9.3 million.
- CYNO traded 33,549 shares today in the pre-market hours as of 8:39 AM, representing 10.9% of its average daily volume.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in CYNO with the Ticky from Trade-Ideas. See the FREE profile for CYNO NOW at Trade-Ideas More details on CYNO: Cynosure, Inc. develops, manufactures, and markets aesthetic treatment systems primarily to the dermatology, plastic surgery, and general medical markets. Currently there is 1 analyst that rates Cynosure Inc. Class A a buy, no analysts rate it a sell, and none rate it a hold. The average volume for Cynosure Inc. Class A has been 221,700 shares per day over the past 30 days. Cynosure Inc. Class A has a market cap of $616.5 million and is part of the health care sector and health services industry. The stock has a beta of 1.74 and a short float of 8% with 3.66 days to cover. Shares are up 2% year-to-date as of the close of trading on Monday. 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 Cynosure Inc. Class A as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow. Highlights from the ratings report include:
- CYNO's very impressive revenue growth greatly exceeded the industry average of 25.3%. Since the same quarter one year prior, revenues leaped by 63.7%. 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.
- CYNO's debt-to-equity ratio is very low at 0.00 and is currently below that of the industry average, implying that there has been very successful management of debt levels. To add to this, CYNO has a quick ratio of 2.44, which demonstrates the ability of the company to cover short-term liquidity needs.
- CYNOSURE INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from 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, CYNOSURE INC turned its bottom line around by earning $0.78 versus -$0.23 in the prior year. This year, the market expects an improvement in earnings ($0.88 versus $0.78).
- 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 137.4% when compared to the same quarter one year ago, falling from $3.42 million to -$1.28 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. Compared to other companies in the Health Care Equipment & Supplies industry and the overall market, CYNOSURE INC's return on equity significantly trails that of both the industry average and the S&P 500.
- You can view the full Cynosure Inc. Class A Ratings Report.
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