New Lifetime High Reached By Community Health Systems (CYH)

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 Community Health Systems ( CYH) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Community Health Systems as such a stock due to the following factors:

  • CYH has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $87.5 million.
  • CYH has traded 19,102 shares today.
  • CYH is trading at a new lifetime high.

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

More details on CYH:

Community Health Systems, Inc., together with its subsidiaries, provides general and specialized hospital healthcare services to patients in the United States. Currently there are 12 analysts that rate Community Health Systems a buy, no analysts rate it a sell, and 5 rate it a hold.

The average volume for Community Health Systems has been 1.7 million shares per day over the past 30 days. Community Health Systems has a market cap of $6.3 billion and is part of the health care sector and health services industry. The stock has a beta of 1.59 and a short float of 5.9% with 2.63 days to cover. Shares are up 40.6% year-to-date as of the close of trading on Wednesday.

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 Community Health Systems as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, good cash flow from operations, solid stock price performance, increase in net income and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

Highlights from the ratings report include:
  • The revenue growth came in higher than the industry average of 20.6%. Since the same quarter one year prior, revenues rose by 49.8%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • Investors have apparently begun to recognize positive factors similar to those we have mentioned in this report, including earnings growth. This has helped drive up the company's shares by a sharp 33.17% over the past year, a rise that has exceeded that of the S&P 500 Index. Regarding the stock's future course, although almost any stock can fall in a broad market decline, CYH should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • 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 40.0% when compared to the same quarter one year prior, rising from $30.00 million to $42.00 million.
  • Net operating cash flow has significantly increased by 78.16% to $449.00 million when compared to the same quarter last year. In addition, COMMUNITY HEALTH SYSTEMS INC has also vastly surpassed the industry average cash flow growth rate of 10.83%.
  • COMMUNITY HEALTH SYSTEMS INC has improved earnings per share by 7.7% 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, COMMUNITY HEALTH SYSTEMS INC reported lower earnings of $1.62 versus $2.96 in the prior year. This year, the market expects an improvement in earnings ($3.02 versus $1.62).

null

If you liked this article you might like

Flu Season May Make Hospital Cash Registers Feel Better ... but Maybe Not

Flu Season May Make Hospital Cash Registers Feel Better ... but Maybe Not

An Activist Effort at Tenet Could Escalate Following Market Selloff

An Activist Effort at Tenet Could Escalate Following Market Selloff

Changes to Federal Tax Law Just What the Doctor Ordered for Healthcare Firms

Changes to Federal Tax Law Just What the Doctor Ordered for Healthcare Firms

No Buyers for All of Tenet, Analysts Say

No Buyers for All of Tenet, Analysts Say

Hurricane Irma Now Category 4, Still Headed for Florida

Hurricane Irma Now Category 4, Still Headed for Florida