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 Melco Crown Entertainment ( MPEL) as a pre-market laggard candidate. In addition to specific proprietary factors, Trade-Ideas identified Melco Crown Entertainment as such a stock due to the following factors:
- MPEL has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $165.5 million.
- MPEL traded 41,608 shares today in the pre-market hours as of 8:17 AM.
- MPEL is down 6.7% today from yesterday's close.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in MPEL with the Ticky from Trade-Ideas. See the FREE profile for MPEL NOW at Trade-Ideas More details on MPEL: Melco Crown Entertainment Limited, through its subsidiaries, develops, owns, and operates casino gaming and entertainment resort facilities in Asia. MPEL has a PE ratio of 31.2. Currently there are 12 analysts that rate Melco Crown Entertainment a buy, no analysts rate it a sell, and none rate it a hold. The average volume for Melco Crown Entertainment has been 4.0 million shares per day over the past 30 days. Melco Crown Entertainment has a market cap of $20.0 billion and is part of the services sector and leisure industry. Shares are down 9.9% year-to-date as of the close of trading on Tuesday. 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 Melco Crown Entertainment as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and notable return on equity. We feel these strengths outweigh the fact that the company shows low profit margins. Highlights from the ratings report include:
- The revenue growth greatly exceeded the industry average of 4.0%. Since the same quarter one year prior, revenues rose by 26.6%. Growth in the company's revenue appears to have helped boost the earnings per share.
- Powered by its strong earnings growth of 100.00% and other important driving factors, this stock has surged by 41.31% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, MPEL should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- MELCO CROWN ENTMT LTD 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. During the past fiscal year, MELCO CROWN ENTMT LTD increased its bottom line by earning $1.15 versus $0.76 in the prior year. This year, the market expects an improvement in earnings ($1.74 versus $1.15).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Hotels, Restaurants & Leisure industry. The net income increased by 106.7% when compared to the same quarter one year prior, rising from $107.98 million to $223.25 million.
- The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Hotels, Restaurants & Leisure industry and the overall market, MELCO CROWN ENTMT LTD's return on equity exceeds that of both the industry average and the S&P 500.
- You can view the full Melco Crown Entertainment 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.