Trade-Ideas LLC identified General Growth Properties ( GGP) as a "barbarian at the gate" (strong stocks crossing above resistance with today's range greater than 200%) candidate. In addition to specific proprietary factors, Trade-Ideas identified General Growth Properties as such a stock due to the following factors:

  • GGP has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $142.4 million.
  • GGP has traded 3.6 million shares today.
  • GGP traded in a range 205.3% of the normal price range with a price range of $1.27.
  • GGP traded above its daily resistance level (quality: 1 day, meaning that the stock is crossing a resistance level set by the last 1 calendar day. The resistance price is defined by the Price - $0.01 at the time of the signal).

Stocks matching the 'Barbarian at the Gate' criteria are worthwhile stocks to watch for a variety of factors including historical back testing and volatility. Trade-Ideas targets these opportunities because the stock is exhibiting an unusual behavior while displaying positive price action. In this case, the stock crossed an important inflection point; namely, 'resistance' while at the same time the range of the stock's movement in price is more than twice its normal size. This large range foreshadows a possible continuation as the stock moves higher.

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

More details on GGP:

General Growth Properties, Inc is an equity real estate investment trust. The firm invests in the real estate markets of the United States. It engages in owning, managing, leasing, and redeveloping high-quality regional malls. General Growth Properties, Inc is based in Chicago, Illinois. The stock currently has a dividend yield of 3%. GGP has a PE ratio of 15. Currently there are 9 analysts that rate General Growth Properties a buy, no analysts rate it a sell, and 2 rate it a hold.

The average volume for General Growth Properties has been 4.9 million shares per day over the past 30 days. General Growth has a market cap of $22.8 billion and is part of the financial sector and real estate industry. The stock has a beta of 0.79 and a short float of 1.8% with 1.98 days to cover. Shares are down 5.2% year-to-date as of the close of trading on Thursday.

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 General Growth Properties as a buy. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income, notable return on equity, expanding profit margins and good cash flow from operations. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Highlights from the ratings report include:
  • GENERAL GROWTH PPTYS INC reported significant earnings per share improvement 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, GENERAL GROWTH PPTYS INC increased its bottom line by earning $0.39 versus $0.30 in the prior year. This year, the market expects an improvement in earnings ($1.42 versus $0.39).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Real Estate Investment Trusts (REITs) industry. The net income increased by 66.0% when compared to the same quarter one year prior, rising from $74.61 million to $123.85 million.
  • The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Real Estate Investment Trusts (REITs) industry and the overall market, GENERAL GROWTH PPTYS INC's return on equity exceeds that of both the industry average and the S&P 500.
  • 44.43% is the gross profit margin for GENERAL GROWTH PPTYS INC which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 20.13% trails the industry average.
  • Net operating cash flow has slightly increased to $281.50 million or 7.38% when compared to the same quarter last year. Despite an increase in cash flow, GENERAL GROWTH PPTYS INC's average is still marginally south of the industry average growth rate of 9.45%.

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.