Trade-Ideas LLC identified Siliconware Precision Industries ( SPIL) as a strong on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Siliconware Precision Industries as such a stock due to the following factors:

  • SPIL has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $5.3 million.
  • SPIL has traded 307,018 shares today.
  • SPIL is trading at 2.74 times the normal volume for the stock at this time of day.
  • SPIL is trading at a new high 3.12% 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.

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More details on SPIL:

Siliconware Precision Industries Co., Ltd. provides semiconductor packaging and testing services to semiconductor suppliers worldwide. The stock currently has a dividend yield of 4.5%. SPIL has a PE ratio of 25.

The average volume for Siliconware Precision Industries has been 932,500 shares per day over the past 30 days. Siliconware Precision has a market cap of $4.7 billion and is part of the technology sector and electronics industry. Shares are down 5% year-to-date as of the close of trading on Wednesday.

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TheStreet Quant Ratings rates Siliconware Precision Industries as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels and expanding profit margins. We feel its strengths outweigh the fact that the company has had sub par growth in net income.

Highlights from the ratings report include:
  • The revenue growth came in higher than the industry average of 9.3%. Since the same quarter one year prior, revenues slightly increased by 6.7%. 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.
  • The current debt-to-equity ratio, 0.41, is low and is below the industry average, implying that there has been successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.37, which illustrates the ability to avoid short-term cash problems.
  • 41.74% is the gross profit margin for SILICONWARE PRECISION INDS 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 -0.75% is in-line with the industry average.
  • SILICONWARE PRECISION INDS 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. The company has suffered a declining pattern of earnings per share over the past year. However, we anticipate this trend reversing over the coming year. During the past fiscal year, SILICONWARE PRECISION INDS reported lower earnings of $0.41 versus $0.59 in the prior year. This year, the market expects an improvement in earnings ($0.66 versus $0.41).

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