- Compared to its closing price of one year ago, LBIX's share price has jumped by 35.14%, exceeding the performance of the broader market during that same time frame. Although LBIX had significant growth over the past year, our hold rating indicates that we do not recommend additional investment in this stock at the current time.
- LBIX's debt-to-equity ratio is very low at 0.01 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.42, which illustrates the ability to avoid short-term cash problems.
- 39.63% is the gross profit margin for LEADING BRANDS INC which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of -1.75% is in-line with the industry average.
- 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. When compared to other companies in the Beverages industry and the overall market, LEADING BRANDS INC's return on equity is below that of both the industry average and the S&P 500.
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Beverages industry. The net income has significantly decreased by 48.6% when compared to the same quarter one year ago, falling from -$0.04 million to -$0.06 million.
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. The Consumer Goods sector as a whole closed the day down 1.0% versus the S&P 500, which was down 0.5%. Laggards within the Consumer Goods sector included CTI Industries ( CTIB), down 3.1%, China Shengda Packaging Group ( CPGI), down 8.9%, Molson Coors Brewing ( TAP.A), down 2.1%, Leading Brands ( LBIX), down 3.8% and DS Healthcare Group ( DSKX), down 1.9%. TheStreet Ratings Group would like to highlight 3 stocks that pushed the sector lower today: Leading Brands ( LBIX) is one of the companies that pushed the Consumer Goods sector lower today. Leading Brands was down $0.18 (3.8%) to $4.60 on heavy volume. Throughout the day, 19,465 shares of Leading Brands exchanged hands as compared to its average daily volume of 3,600 shares. The stock ranged in price between $4.50-$4.78 after having opened the day at $4.78 as compared to the previous trading day's close of $4.78. Leading Brands, Inc., together with its subsidiaries, is engaged in the development, production, marketing, and distribution of beverages in Canada, the western United States, and Asia. Leading Brands has a market cap of $13.9 million and is part of the automotive industry. Shares are up 23.5% 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. TheStreet Ratings rates Leading Brands as a hold. The company's strengths can be seen in multiple areas, such as its solid stock price performance, largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. However, as a counter to these strengths, we find that the growth in the company's net income has been quite unimpressive. Highlights from TheStreet Ratings analysis on LBIX go as follows: