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 SUPERVALU ( SVU) as a post-market leader candidate. In addition to specific proprietary factors, Trade-Ideas identified SUPERVALU as such a stock due to the following factors:
- SVU has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $64.5 million.
- SVU is up 2.3% today from today's close.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in SVU with the Ticky from Trade-Ideas. See the FREE profile for SVU NOW at Trade-Ideas More details on SVU: SUPERVALU INC., together with its subsidiaries, operates as a wholesale distributor to independent retail customers in the United States. It operates in three segments: Retail Food, Save-A-Lot, and Independent Business. Currently there is 1 analyst that rates SUPERVALU a buy, no analysts rate it a sell, and 4 rate it a hold. The average volume for SUPERVALU has been 4.4 million shares per day over the past 30 days. SUPERVALU has a market cap of $1.9 billion and is part of the services sector and retail industry. The stock has a beta of 2.41 and a short float of 13.1% with 2.92 days to cover. Shares are down 2.3% 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 SUPERVALU as a hold. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, revenue growth and growth in earnings per share. However, as a counter to these strengths, we also find weaknesses including weak operating cash flow and poor profit margins. Highlights from the ratings report include:
- Compared to its price level of one year ago, SVU is up 17.71% to its most recent closing price of 6.91. Looking ahead, our view is that this company's fundamentals should not have much impact in either direction, allowing the stock to generally move up or down based on the push and pull of the broad market.
- SVU's revenue growth has slightly outpaced the industry average of 6.3%. Since the same quarter one year prior, revenues slightly increased by 1.4%. Growth in the company's revenue appears to have helped boost the earnings per share.
- SUPERVALU 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, SUPERVALU INC turned its bottom line around by earning $0.00 versus -$1.23 in the prior year. This year, the market expects an increase in earnings to $0.64 from $0.00.
- The gross profit margin for SUPERVALU INC is currently extremely low, coming in at 14.93%. Regardless of SVU'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 0.65% trails the industry average.
- Net operating cash flow has decreased to $292.00 million or 46.02% when compared to the same quarter last year. In addition, when comparing the cash generation rate to the industry average, the firm's growth is significantly lower.
- You can view the full SUPERVALU 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.