New Lifetime High Reached: Tim Hortons (THI)

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 Tim Hortons ( THI) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Tim Hortons as such a stock due to the following factors:

  • THI has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $14.9 million.
  • THI has traded 59,164 shares today.
  • THI is trading at a new lifetime high.

EXCLUSIVE OFFER: Get the inside scoop on opportunities in THI with the Ticky from Trade-Ideas. See the FREE profile for THI NOW at Trade-Ideas

More details on THI:

Tim Hortons Inc. develops and franchises quick service restaurants primarily in Canada and the United States. The stock currently has a dividend yield of 2%. THI has a PE ratio of 20.9. Currently there are 6 analysts that rate Tim Hortons a buy, no analysts rate it a sell, and none rate it a hold.

The average volume for Tim Hortons has been 153,000 shares per day over the past 30 days. Tim Hortons has a market cap of $7.9 billion and is part of the services sector and leisure industry. The stock has a beta of 0.76 and a short float of 0.4% with 1.78 days to cover. Shares are up 4.3% 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 Tim Hortons as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, good cash flow from operations, growth in earnings per share and increase in net income. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Highlights from the ratings report include:
  • The revenue growth came in higher than the industry average of 5.9%. Since the same quarter one year prior, revenues slightly increased by 4.8%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • TIM HORTONS INC has improved earnings per share by 17.9% 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. During the past fiscal year, TIM HORTONS INC increased its bottom line by earning $2.81 versus $2.58 in the prior year.
  • The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and the Hotels, Restaurants & Leisure industry average. The net income increased by 5.5% when compared to the same quarter one year prior, going from $86.17 million to $90.91 million.
  • The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Hotels, Restaurants & Leisure industry and the overall market, TIM HORTONS INC's return on equity significantly exceeds that of both the industry average and the S&P 500.
  • Net operating cash flow has significantly increased by 66.82% to $80.42 million when compared to the same quarter last year. In addition, TIM HORTONS INC has also vastly surpassed the industry average cash flow growth rate of -68.88%.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

null

More from Markets

Dow Tumbles as Trump Calls Off North Korea Summit

Dow Tumbles as Trump Calls Off North Korea Summit

Jim Cramer: Does Saudi Arabia Think Oil Prices Are Too High?

Jim Cramer: Does Saudi Arabia Think Oil Prices Are Too High?

Stocks Could Easily Crater Into Memorial Day Weekend

Stocks Could Easily Crater Into Memorial Day Weekend

Video: Here Is How Real Estate Investment Trusts Can Boost Your Portfolio

Video: Here Is How Real Estate Investment Trusts Can Boost Your Portfolio

Celgene Shares Rise on Plans to Increase Stock Buybacks

Celgene Shares Rise on Plans to Increase Stock Buybacks