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

  • CLDX has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $14.5 million.
  • CLDX has traded 739,421 shares today.
  • CLDX is trading at 4.85 times the normal volume for the stock at this time of day.
  • CLDX is trading at a new low 4.00% 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 CLDX with the Ticky from Trade-Ideas. See the FREE profile for CLDX NOW at Trade-Ideas

More details on CLDX:

Celldex Therapeutics, Inc., a biopharmaceutical company, develops, manufactures, and commercializes novel therapeutics for human health care in the United States. Currently there are 5 analysts that rate Celldex Therapeutics a buy, no analysts rate it a sell, and 5 rate it a hold.

The average volume for Celldex Therapeutics has been 4.0 million shares per day over the past 30 days. Celldex has a market cap of $449.2 million and is part of the health care sector and drugs industry. The stock has a beta of 2.45 and a short float of 30.8% with 8.53 days to cover. Shares are down 68.2% 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 Celldex Therapeutics as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, weak operating cash flow, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share.

Highlights from the ratings report include:
  • The company, on the basis of change in net income from the same quarter one year ago, has underperformed when compared to that of the S&P 500 and greatly underperformed compared to the Biotechnology industry average. The net income has decreased by 14.9% when compared to the same quarter one year ago, dropping from -$30.17 million to -$34.67 million.
  • Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Biotechnology industry and the overall market, CELLDEX THERAPEUTICS INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • Net operating cash flow has declined marginally to -$34.90 million or 7.09% when compared to the same quarter last year. In addition, when comparing the cash generation rate to the industry average, the firm's growth is significantly lower.
  • Looking at the price performance of CLDX's shares over the past 12 months, there is not much good news to report: the stock is down 85.04%, and it has underformed the S&P 500 Index. In addition, the company's earnings per share are lower today than the year-earlier quarter. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.
  • CELLDEX THERAPEUTICS INC's earnings per share declined by 6.1% in the most recent quarter compared to the same quarter a year ago. Stable earnings per share over the past year indicate the company has managed its earnings and share float. We anticipate this stability to falter in the coming year and, in turn, the company to deliver lower earnings per share than prior full year. During the past fiscal year, CELLDEX THERAPEUTICS INC continued to lose money by earning -$1.31 versus -$1.32 in the prior year. For the next year, the market is expecting a contraction of 3.8% in earnings (-$1.36 versus -$1.31).

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.