Trade-Ideas LLC identified SkyPeople Fruit Juice ( SPU) as a strong on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified SkyPeople Fruit Juice as such a stock due to the following factors:

  • SPU has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $4.3 million.
  • SPU has traded 431,468 shares today.
  • SPU is trading at 44.11 times the normal volume for the stock at this time of day.
  • SPU is trading at a new high 15.54% 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 SPU:

SkyPeople Fruit Juice, Inc., through its subsidiaries, produces and sells fruit juice concentrates, fruit beverages, and other fruit-related products in the People's Republic of China and internationally. SPU has a PE ratio of 2.

The average volume for SkyPeople Fruit Juice has been 96,200 shares per day over the past 30 days. SkyPeople Fruit Juice has a market cap of $9.8 million and is part of the consumer goods sector and food & beverage industry. The stock has a beta of 0.10 and a short float of 1.2% with 0.07 days to cover. Shares are up 572.1% year-to-date as of the close of trading on Thursday.

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TheStreetRatings.com Analysis:

TheStreet Quant Ratings rates SkyPeople Fruit Juice as a sell. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity and generally disappointing historical performance in the stock itself.

Highlights from the ratings report include:
  • SKYPEOPLE FRUIT JUICE INC 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 reported a trend of declining earnings per share over the past two years. During the past fiscal year, SKYPEOPLE FRUIT JUICE INC reported lower earnings of $2.32 versus $3.60 in the prior year.
  • The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Food Products industry. The net income has significantly decreased by 109.3% when compared to the same quarter one year ago, falling from $4.56 million to -$0.43 million.
  • 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. In comparison to the other companies in the Food Products industry and the overall market, SKYPEOPLE FRUIT JUICE INC's return on equity is significantly below that of the industry average and is below 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 73.92%, worse than the S&P 500's performance. Consistent with the plunge in the stock price, the company's earnings per share are down 111.76% compared to 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.
  • SPU, with its very weak revenue results, has greatly underperformed against the industry average of 16.8%. Since the same quarter one year prior, revenues plummeted by 69.7%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.

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