- ORB's debt-to-equity ratio is very low at 0.17 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with this, the company maintains a quick ratio of 2.99, which clearly demonstrates the ability to cover short-term cash needs.
- Net operating cash flow has increased to $24.46 million or 33.16% when compared to the same quarter last year. In addition, ORBITAL SCIENCES CORP has also vastly surpassed the industry average cash flow growth rate of -19.68%.
- Compared to its closing price of one year ago, ORB's share price has jumped by 50.85%, exceeding the performance of the broader market during that same time frame. Looking ahead, the stock's sharp rise over the last year has already helped drive it to a level which is relatively expensive compared to the rest of its industry. We feel, however, that other strengths this company displays justify these higher price levels.
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500, but is less than that of the Aerospace & Defense industry average. The net income increased by 1.6% when compared to the same quarter one year prior, going from $16.28 million to $16.53 million.
- ORB, with its decline in revenue, slightly underperformed the industry average of 1.2%. Since the same quarter one year prior, revenues slightly dropped by 4.5%. Weakness in the company's revenue seems to not be hurting the bottom line, shown by stable earnings per share.
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 Aerospace/Defense industry as a whole closed the day down 0.8% versus the S&P 500, which was down 0.2%. Laggards within the Aerospace/Defense industry included Tel Instrument Electronics ( TIK), down 1.8%, Micronet Enertec Technologies ( MICT), down 2.8%, Breeze-Eastern ( BZC), down 1.7%, Sifco Industries ( SIF), down 1.9% and Acorn Energy ( ACFN), down 2.6%. TheStreet Ratings Group would like to highlight 3 stocks that pushed the industry lower today: Orbital ( ORB) is one of the companies that pushed the Aerospace/Defense industry lower today. Orbital was down $0.52 (1.9%) to $26.96 on light volume. Throughout the day, 287,171 shares of Orbital exchanged hands as compared to its average daily volume of 388,600 shares. The stock ranged in price between $26.67-$27.50 after having opened the day at $27.24 as compared to the previous trading day's close of $27.48. Orbital Sciences Corporation develops and manufactures small- and medium-class rockets and space systems for commercial, military, and civil government customers in the United States, Europe, Eurasia, Mexico, South America, and East Asia. Orbital has a market cap of $1.7 billion and is part of the industrial goods sector. Shares are up 17.9% year-to-date as of the close of trading on Wednesday. Currently there are 5 analysts who rate Orbital a buy, no analysts rate it a sell, and 1 rates it a hold. 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 Orbital as a buy. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, good cash flow from operations, solid stock price performance and increase in net income. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Highlights from TheStreet Ratings analysis on ORB go as follows: