Heavy Early Morning Activity On Rice Energy (RICE)

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.

Trade-Ideas LLC identified Rice Energy ( RICE) as a pre-market mover with heavy volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Rice Energy as such a stock due to the following factors:

  • RICE has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $40.5 million.
  • RICE traded 340,154 shares today in the pre-market hours as of 9:00 AM, representing 20.2% of its average daily volume.

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

More details on RICE:

Rice Energy Inc., an independent natural gas and oil company, engages in the acquisition, exploration, and development of natural gas, oil, and natural gas liquid (NGL) properties in the Appalachian Basin. The company operates through two segments, Exploration and Production, and Midstream. RICE has a PE ratio of 37. Currently there are 11 analysts that rate Rice Energy a buy, no analysts rate it a sell, and 2 rate it a hold.

The average volume for Rice Energy has been 1.7 million shares per day over the past 30 days. Rice Energy has a market cap of $3.3 billion and is part of the basic materials sector and energy industry. Shares are up 16.8% year-to-date as of the close of trading on Monday.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

TheStreetRatings.com Analysis:

TheStreet Quant Ratings rates Rice Energy as a sell. The company's weaknesses can be seen in multiple areas, such as its generally disappointing historical performance in the stock itself, deteriorating net income and feeble growth in its earnings per share.

Highlights from the ratings report include:
  • The share price of RICE ENERGY INC has not done very well: it is down 18.38% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. Looking ahead, we do not see anything in this company's numbers that would change the one-year trend. It was down over the last twelve months; and it could be down again in the next twelve. Naturally, a bull or bear market could sway the movement of this stock.
  • 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 Oil, Gas & Consumable Fuels industry. The net income has significantly decreased by 99.9% when compared to the same quarter one year ago, falling from $129.45 million to $0.15 million.
  • RICE ENERGY INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. This company has reported somewhat volatile earnings recently. We feel it is likely to report a decline in earnings in the coming year. During the past fiscal year, RICE ENERGY INC turned its bottom line around by earning $1.67 versus -$0.12 in the prior year. For the next year, the market is expecting a contraction of 100.0% in earnings ($0.00 versus $1.67).
  • The gross profit margin for RICE ENERGY INC is rather high; currently it is at 68.91%. Despite the high profit margin, it has decreased significantly from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 0.13% trails the industry average.
  • The revenue growth greatly exceeded the industry average of 37.8%. Since the same quarter one year prior, revenues rose by 21.1%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

More from Markets

Trump May Be More to Blame For Higher Oil Prices Than OPEC

Trump May Be More to Blame For Higher Oil Prices Than OPEC

Dow Falls Over 200 Points as Apple's Slump Offsets Gains in General Electric

Dow Falls Over 200 Points as Apple's Slump Offsets Gains in General Electric

Week Ahead: Major Earnings on Tap as Wall Street Readies for Geopolitical Moves

Week Ahead: Major Earnings on Tap as Wall Street Readies for Geopolitical Moves

3 Hot Reads From TheStreet's Top Premium Columnists

3 Hot Reads From TheStreet's Top Premium Columnists

Video: How to Select Mutual Funds in Your 401(k)

Video: How to Select Mutual Funds in Your 401(k)