Trade-Ideas LLC identified Manitowoc ( MTW) as a weak on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Manitowoc as such a stock due to the following factors:

  • MTW has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $21.4 million.
  • MTW has traded 329,413 shares today.
  • MTW is trading at 2.16 times the normal volume for the stock at this time of day.
  • MTW is trading at a new low 3.16% below yesterday's close.

'Weak on High Relative Volume' stocks are worth watching because major volume moves tend to indicate underlying activity such as material stock news, analyst downgrades, insider selling, selling from 'superinvestors,' or that hedge funds and traders are piling out of 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 (or avoid losses by trimming weak positions). 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 MTW with the Ticky from Trade-Ideas. See the FREE profile for MTW NOW at Trade-Ideas More details on MTW: The Manitowoc Company, Inc. designs, manufactures, and sells cranes and related products, and foodservice equipment worldwide. The stock currently has a dividend yield of 1.4%. MTW has a PE ratio of 13. Currently there are 2 analysts that rate Manitowoc a buy, no analysts rate it a sell, and 8 rate it a hold. The average volume for Manitowoc has been 8.2 million shares per day over the past 30 days. Manitowoc has a market cap of $790.9 million and is part of the industrial goods sector and industrial industry. The stock has a beta of 1.47 and a short float of 9.1% with 3.21 days to cover. Shares are down 62.7% 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 Manitowoc as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income and attractive valuation levels. We feel its strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Highlights from the ratings report include:
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Machinery industry. The net income increased by 30.4% when compared to the same quarter one year prior, rising from $33.60 million to $43.80 million.
  • Powered by its strong earnings growth of 33.33% and other important driving factors, this stock has surged by 42.28% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, MTW should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • Regardless of the drop in revenue, the company managed to outperform against the industry average of 14.4%. Since the same quarter one year prior, revenues slightly dropped by 9.9%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
  • MANITOWOC CO has improved earnings per share by 33.3% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. We feel it is likely to report a decline in earnings in the coming year. During the past fiscal year, MANITOWOC CO reported lower earnings of $0.46 versus $1.13 in the prior year. For the next year, the market is expecting a contraction of 75.4% in earnings ($0.11 versus $0.46).

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