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 Starwood Property ( STWD) as a pre-market mover with heavy volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Starwood Property as such a stock due to the following factors:
- STWD has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $37.0 million.
- STWD traded 301,445 shares today in the pre-market hours as of 8:33 AM, representing 18.3% of its average daily volume.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in STWD with the Ticky from Trade-Ideas. See the FREE profile for STWD NOW at Trade-Ideas More details on STWD: Starwood Property Trust, Inc. originates, acquires, finances, and manages commercial mortgage loans, other commercial real estate debt investments, commercial mortgage-backed securities, and other commercial real estate-related debt investments in the United States and Europe. The stock currently has a dividend yield of 8.1%. STWD has a PE ratio of 13.1. Currently there are 6 analysts that rate Starwood Property a buy, no analysts rate it a sell, and none rate it a hold. The average volume for Starwood Property has been 2.3 million shares per day over the past 30 days. Starwood Property has a market cap of $4.6 billion and is part of the financial sector and real estate industry. The stock has a beta of 0.81 and a short float of 8.9% with 7.18 days to cover. Shares are down 14.9% year-to-date as of the close of trading on Friday. 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 Starwood Property as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, growth in earnings per share, compelling growth in net income, good cash flow from operations and expanding profit margins. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Highlights from the ratings report include:
- STWD's very impressive revenue growth greatly exceeded the industry average of 6.7%. Since the same quarter one year prior, revenues leaped by 110.3%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- STARWOOD PROPERTY TRUST INC has improved earnings per share by 14.3% 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. During the past fiscal year, STARWOOD PROPERTY TRUST INC increased its bottom line by earning $1.82 versus $1.78 in the prior year. This year, the market expects an improvement in earnings ($2.15 versus $1.82).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Real Estate Investment Trusts (REITs) industry. The net income increased by 68.6% when compared to the same quarter one year prior, rising from $56.33 million to $94.97 million.
- Net operating cash flow has significantly increased by 1662.19% to $601.46 million when compared to the same quarter last year. In addition, STARWOOD PROPERTY TRUST INC has also vastly surpassed the industry average cash flow growth rate of 11.12%.
- 45.34% is the gross profit margin for STARWOOD PROPERTY TRUST INC which we consider to be strong. Despite the high profit margin, it has decreased significantly from the same period last year. Despite the mixed results of the gross profit margin, STWD's net profit margin of 49.97% significantly outperformed against the industry.
- You can view the full Starwood Property 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.