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 Gentiva Health Services ( GTIV) as a "perilous reversal" (up big yesterday but down big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified Gentiva Health Services as such a stock due to the following factors:
- GTIV has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $13.1 million.
- GTIV has traded 167,271 shares today.
- GTIV is down 3.7% today.
- GTIV was up 61.9% yesterday.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in GTIV with the Ticky from Trade-Ideas. See the FREE profile for GTIV NOW at Trade-Ideas More details on GTIV: Gentiva Health Services, Inc. provides home health, hospice, and community care services in the United States. The company's Home Health segment provides direct home nursing and therapy services, including specialty programs. Currently there are 2 analysts that rate Gentiva Health Services a buy, 2 analysts rate it a sell, and 3 rate it a hold. The average volume for Gentiva Health Services has been 370,500 shares per day over the past 30 days. Gentiva Health Services has a market cap of $314.0 million and is part of the health care sector and health services industry. The stock has a beta of 2.15 and a short float of 4.6% with 1.45 days to cover. Shares are up 11.4% 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 Gentiva Health Services as a sell. Among the areas we feel are negative, one of the most important has been a generally disappointing historical performance in the stock itself. Highlights from the ratings report include:
- GTIV's stock share price has done very poorly compared to where it was a year ago: Despite any rallies, the net result is that it is down by 26.15%, which is also worse that the performance of the S&P 500 Index. Investors have so far failed to pay much attention to the earnings improvements the company has managed to achieve over the last quarter. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.
- 43.99% is the gross profit margin for GENTIVA HEALTH SERVICES INC which we consider to be strong. Regardless of GTIV's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 0.06% trails the industry average.
- GENTIVA HEALTH SERVICES INC 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, GENTIVA HEALTH SERVICES INC swung to a loss, reporting -$17.87 versus $0.88 in the prior year. This year, the market expects an improvement in earnings ($0.88 versus -$17.87).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Health Care Providers & Services industry. The net income increased by 100.2% when compared to the same quarter one year prior, rising from -$207.18 million to $0.31 million.
- Net operating cash flow has increased to -$17.74 million or 13.70% when compared to the same quarter last year. In addition, GENTIVA HEALTH SERVICES INC has also modestly surpassed the industry average cash flow growth rate of 12.01%.
- You can view the full Gentiva Health Services 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.