NEW YORK (TheStreet) -- If you're looking for something to buy during times of market turbulence, we have you covered.
Here are 11 stocks with A+ ratings, which also have a lot of volatility from TheStreet Quant Ratings, TheStreet's proprietary quant-based stock-rating tool. In times of high volatility, a lot of money can be made by savvy traders.
The Street Quant Ratings rates every one of these stocks an A+, as well as a five-star rating on volatility, by measuring the volatility of the company's stock price historically. These stocks were chosen from 4,300 different types of equities we rate.
TheStreet Ratings projects a stock's total return potential over a 12-month period including both price appreciation and dividends. Based on 32 major data points, TheStreet Ratings uses a quantitative approach to rating over 4,300 stocks to predict return potential for the next year. The model is both objective, using elements such as volatility of past operating revenues, financial strength, and company cash flows, and subjective, including expected equities market returns, future interest rates, implied industry outlook and forecasted company earnings.
Buying an S&P 500 stock that TheStreet Ratings rated a buy yielded a 16.56% return in 2014, beating the S&P 500 Total Return Index by 304 basis points. Buying a Russell 2000 stock that TheStreet Ratings rated a buy yielded a 9.5% return in 2014, beating the Russell 2000 index, including dividends reinvested, by 460 basis points last year.
Check out which stocks made the list. And when you're done, be sure to read about which safe, A+ rated stocks you should buy now. Year-to-date returns are based on September 4, 2015 prices as of 11:00am.PFBC data by YCharts
11. Preferred Bank (PFBC)
Rating: Buy, A+
Market Cap: $403.6 million
Year-to-date return: 5.2%
Preferred Bank provides various commercial banking products and services to small and mid-sized businesses and their owners, entrepreneurs, real estate developers and investors, professionals, and high net worth individuals in the United States.
TheStreet Ratings team rates PREFERRED BANK LOS ANGELES as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:
"We rate PREFERRED BANK LOS ANGELES (PFBC) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and expanding profit margins. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook. "
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- The revenue growth came in higher than the industry average of 1.7%. Since the same quarter one year prior, revenues rose by 19.7%. 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 28.42% 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, PFBC should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- PREFERRED BANK LOS ANGELES has improved earnings per share by 22.2% 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. We feel that this trend should continue. During the past fiscal year, PREFERRED BANK LOS ANGELES increased its bottom line by earning $1.79 versus $1.43 in the prior year. This year, the market expects an improvement in earnings ($2.10 versus $1.79).
- The company, on the basis of net income growth from the same quarter one year ago, has significantly outperformed against the S&P 500 and exceeded that of the Commercial Banks industry average. The net income increased by 22.2% when compared to the same quarter one year prior, going from $6.21 million to $7.59 million.
- The gross profit margin for PREFERRED BANK LOS ANGELES is currently very high, coming in at 87.65%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 31.38% significantly outperformed against the industry average.
- You can view the full analysis from the report here: PFBC