Trade-Ideas LLC identified SK Telecom ( SKM) as a "perilous reversal" (up big yesterday but down big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified SK Telecom as such a stock due to the following factors:
- SKM has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $25.1 million.
- SKM has traded 214,459 shares today.
- SKM is down 3% today.
- SKM was up 5.5% yesterday.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in SKM with the Ticky from Trade-Ideas. See the FREE profile for SKM NOW at Trade-Ideas More details on SKM: SK Telecom Co., Ltd. provides wireless telecommunications services in Korea. The stock currently has a dividend yield of 3.7%. SKM has a PE ratio of 9. Currently there is 1 analyst that rates SK Telecom a buy, no analysts rate it a sell, and none rate it a hold. The average volume for SK Telecom has been 748,200 shares per day over the past 30 days. SK Telecom has a market cap of $12.7 billion and is part of the technology sector and telecommunications industry. Shares are up 1.6% 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 SK Telecom as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth and attractive valuation levels. We feel its strengths outweigh the fact that the company has had somewhat weak growth in earnings per share. Highlights from the ratings report include:
- The revenue growth came in higher than the industry average of 4.8%. Since the same quarter one year prior, revenues rose by 10.3%. 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.
- Net operating cash flow has decreased to $999.32 million or 16.03% when compared to the same quarter last year. Despite a decrease in cash flow SK TELECOM CO LTD is still fairing well by exceeding its industry average cash flow growth rate of -30.66%.
- The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. Compared to other companies in the Wireless Telecommunication Services industry and the overall market on the basis of return on equity, SK TELECOM CO LTD has outperformed in comparison with the industry average, but has underperformed when compared to that of the S&P 500.
- Despite any intermediate fluctuations, we have only bad news to report on this stock's performance over the last year: it has tumbled by 30.58%, worse than the S&P 500's performance. Consistent with the plunge in the stock price, the company's earnings per share are down 36.92% compared to the year-earlier quarter. Looking ahead, the stock's sharp decline over the past year may have been what was needed in order to bring its value into alignment with its fundamentals and others in its industry.
- You can view the full SK Telecom Ratings Report.
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