Harte-Hanks (HHS) Strong On High Relative Volume Today

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 Harte-Hanks ( HHS) as a strong on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Harte-Hanks as such a stock due to the following factors:

  • HHS has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $2.7 million.
  • HHS has traded 67,291 shares today.
  • HHS is trading at 3.89 times the normal volume for the stock at this time of day.
  • HHS is trading at a new high 3.06% above yesterday's close.

'Strong on High Relative Volume' stocks are worth watching because major volume moves tend to indicate underlying activity such as M&A events, material stock news, analyst upgrades, insider buying, buying from 'superinvestors,' or that hedge funds and momentum traders are piling into a stock ahead of a catalyst. Regardless of the impetus behind the price and volume action, when a stock moves with strength and volume it can indicate the start of a new trend on which early investors can capitalize. In the event of a well-timed trading opportunity, combining technical indicators with fundamental trends and a disciplined trading methodology should help you take the first steps towards investment success.

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

More details on HHS:

Harte-Hanks, Inc. provides various marketing services in the United States and internationally. The company operates in two segments, Customer Interaction and Trillium Software. The stock currently has a dividend yield of 5.6%. HHS has a PE ratio of 16. Currently there is 1 analyst that rates Harte-Hanks a buy, no analysts rate it a sell, and 1 rates it a hold.

The average volume for Harte-Hanks has been 155,900 shares per day over the past 30 days. Harte-Hanks has a market cap of $377.0 million and is part of the services sector and media industry. The stock has a beta of 2.04 and a short float of 1.1% with 1.40 days to cover. Shares are down 21.8% year-to-date as of the close of trading on Wednesday.

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 Harte-Hanks as a buy. The company's strongest point has been its expanding profit margins. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Highlights from the ratings report include:
  • HARTE HANKS INC reported flat earnings per share in the most recent quarter. Stable earnings per share over the past year indicate the company has sound management over its earnings and share float. We anticipate these figures will begin to experience more growth in the coming year. During the past fiscal year, HARTE HANKS INC reported lower earnings of $0.38 versus $0.39 in the prior year. This year, the market expects an improvement in earnings ($0.42 versus $0.38).
  • HHS, with its decline in revenue, underperformed when compared the industry average of 3.8%. Since the same quarter one year prior, revenues slightly dropped by 8.7%. Weakness in the company's revenue seems to not be hurting the bottom line, shown by stable earnings per share.
  • The change in net income from the same quarter one year ago has exceeded that of the S&P 500, but is less than that of the Media industry average. The net income has decreased by 12.5% when compared to the same quarter one year ago, dropping from $1.85 million to $1.62 million.
  • HHS has underperformed the S&P 500 Index, declining 19.51% from its price level of one year ago. Turning toward the future, the fact that the stock has come down in price over the past year should not necessarily be interpreted as a negative; it is one of the factors that makes this stock an attractive investment.
  • The gross profit margin for HARTE HANKS INC is rather low; currently it is at 16.96%. Regardless of HHS's low profit margin, it has managed to increase from the same period last year. Despite the mixed results of the gross profit margin, HHS's net profit margin of 1.33% is significantly lower than the industry average.

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

Inside Carnival's Mind Blowing New Horizon Cruise Ship (Video)

Inside Carnival's Mind Blowing New Horizon Cruise Ship (Video)

Jim Cramer: The 10-Year Yield Could Go to 2.75%

Jim Cramer: The 10-Year Yield Could Go to 2.75%

Oil Slumps, Gas Spikes Ahead of Holiday Weekend; Assessing the Chipmakers--ICYMI

Oil Slumps, Gas Spikes Ahead of Holiday Weekend; Assessing the Chipmakers--ICYMI

Week Ahead: Wall Street Looks to Jobs Report as North Korea Meeting Less Certain

Week Ahead: Wall Street Looks to Jobs Report as North Korea Meeting Less Certain

Dow and S&P 500 Decline, Energy Shares Fall as U.S. Crude Oil Slides 4%

Dow and S&P 500 Decline, Energy Shares Fall as U.S. Crude Oil Slides 4%