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 Brookdale Senior Living ( BKD) as a pre-market mover with heavy volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Brookdale Senior Living as such a stock due to the following factors:
- BKD has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $39.2 million.
- BKD traded 2.3 million shares today in the pre-market hours as of 9:16 AM, representing 186.3% of its average daily volume.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in BKD with the Ticky from Trade-Ideas. See the FREE profile for BKD NOW at Trade-Ideas More details on BKD: Brookdale Senior Living Inc. operates senior living communities in the United States. It offers independent living, assisted living, Alzheimer's and dementia care, rehabilitation and skilled nursing, continuing retirement care, and life care services for residents. Currently there are 4 analysts that rate Brookdale Senior Living a buy, no analysts rate it a sell, and 1 rates it a hold. The average volume for Brookdale Senior Living has been 915,800 shares per day over the past 30 days. Brookdale Senior Living has a market cap of $3.7 billion and is part of the health care sector and health services industry. The stock has a beta of 2.48 and a short float of 4.4% with 2.98 days to cover. Shares are up 10.4% 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 Brookdale Senior Living as a hold. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income and revenue growth. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk and poor profit margins. Highlights from the ratings report include:
- BROOKDALE SENIOR LIVING INC reported significant earnings per share improvement 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 two years. We feel that this trend should continue. This trend suggests that the performance of the business is improving. During the past fiscal year, BROOKDALE SENIOR LIVING INC continued to lose money by earning -$0.03 versus -$0.55 in the prior year. This year, the market expects an improvement in earnings ($0.32 versus -$0.03).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Health Care Providers & Services industry. The net income increased by 96.0% when compared to the same quarter one year prior, rising from -$24.69 million to -$0.98 million.
- The gross profit margin for BROOKDALE SENIOR LIVING INC is rather low; currently it is at 21.07%. Regardless of BKD's low profit margin, it has managed to increase from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of -0.13% trails the industry average.
- The debt-to-equity ratio is very high at 2.38 and currently higher than the industry average, implying increased risk associated with the management of debt levels within the company. Along with this, the company manages to maintain a quick ratio of 0.23, which clearly demonstrates the inability to cover short-term cash needs.
- You can view the full Brookdale Senior Living 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.