Liberty Global PLC Stock Upgraded (LBTYA)

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.

NEW YORK ( TheStreet) -- Liberty Global (Nasdaq: LBTYA) has been upgraded by TheStreet Ratings from hold to buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, increase in net income, good cash flow from operations and growth in earnings per share. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

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Highlights from the ratings report include:
  • LBTYA's very impressive revenue growth greatly exceeded the industry average of 4.6%. Since the same quarter one year prior, revenues leaped by 63.6%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • The strong earnings growth this company has enjoyed -- up -- has apparently played a role in driving up its share price by a solid 28.00%. In addition, the rise in the general market has likely contributed to this stock's strong performance during this past year.Regarding the stock's future course, although almost any stock can fall in a broad market decline, LBTYA should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Media industry. The net income increased by 63.4% when compared to the same quarter one year prior, rising from -$331.30 million to -$121.20 million.
  • Net operating cash flow has increased to $1,465.30 million or 41.78% when compared to the same quarter last year. In addition, LIBERTY GLOBAL PLC has also vastly surpassed the industry average cash flow growth rate of -11.54%.
  • LIBERTY GLOBAL PLC reported significant earnings per share improvement 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, LIBERTY GLOBAL PLC reported poor results of -$2.37 versus -$2.33 in the prior year. This year, the market expects an improvement in earnings ($0.02 versus -$2.37).

Liberty Global plc, together with its subsidiaries, provides video, broadband Internet, fixed-line telephony, and mobile services in Europe, Chile, Puerto Rico, and internationally. Liberty Global has a market cap of $18.86 billion and is part of the services sector and media industry. Shares are down 4.1% year to date as of the close of trading on Friday.

You can view the full Liberty Global Ratings Report or get investment ideas from our investment research center.

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