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 Peregrine Pharmaceuticals ( PPHM) as a "dead cat bounce" (down big yesterday but up big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified Peregrine Pharmaceuticals as such a stock due to the following factors:
- PPHM has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $25.7 million.
- PPHM has traded 134,871 shares today.
- PPHM is up 4.2% today.
- PPHM was down 8% yesterday.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in PPHM with the Ticky from Trade-Ideas. See the FREE profile for PPHM NOW at Trade-Ideas More details on PPHM: Peregrine Pharmaceuticals, Inc., a biopharmaceutical company, engages in the development of monoclonal antibodies focused on the treatment and diagnosis of cancer. Currently there are 2 analysts that rate Peregrine Pharmaceuticals a buy, no analysts rate it a sell, and none rate it a hold. The average volume for Peregrine Pharmaceuticals has been 3.8 million shares per day over the past 30 days. Peregrine has a market cap of $452.1 million and is part of the health care sector and drugs industry. The stock has a beta of 0.67 and a short float of 6.6% with 1.00 days to cover. Shares are up 102.9% year-to-date as of the close of trading on Thursday. 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 Peregrine Pharmaceuticals as a sell. The area that we feel has been the company's primary weakness has been its disappointing return on equity. Highlights from the ratings report include:
- The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Biotechnology industry and the overall market, PEREGRINE PHARMACEUTICLS INC's return on equity significantly trails that of both the industry average and the S&P 500.
- Net operating cash flow has increased to -$5.49 million or 42.59% when compared to the same quarter last year. Despite an increase in cash flow, PEREGRINE PHARMACEUTICLS INC's cash flow growth rate is still lower than the industry average growth rate of 62.44%.
- The net income growth from the same quarter one year ago has exceeded that of the Biotechnology industry average, but is less than that of the S&P 500. The net income increased by 11.0% when compared to the same quarter one year prior, going from -$8.75 million to -$7.79 million.
- This stock has increased by 89.13% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the future course of this stock, we feel that the risks involved in investing in PPHM do not compensate for any future upside potential, despite the fact that it has seen nice gains over the past 12 months.
- PEREGRINE PHARMACEUTICLS INC has improved earnings per share by 37.5% 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, PEREGRINE PHARMACEUTICLS INC continued to lose money by earning -$0.25 versus -$0.50 in the prior year. This year, the market expects an improvement in earnings (-$0.24 versus -$0.25).
- You can view the full Peregrine Pharmaceuticals 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.