Trade-Ideas LLC identified SkyPeople Fruit Juice ( SPU) as a "perilous reversal" (up big yesterday but down big today) 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 $50.4 million.
  • SPU has traded 151,975 shares today.
  • SPU is down 5.3% today.
  • SPU was up 27.9% yesterday.

EXCLUSIVE OFFER: Get the inside scoop on opportunities in SPU with the Ticky from Trade-Ideas. See the FREE profile for SPU NOW at Trade-Ideas

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 6.

The average volume for SkyPeople Fruit Juice has been 481,000 shares per day over the past 30 days. SkyPeople Fruit Juice has a market cap of $35.6 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 0.02 days to cover. Shares are up 1995.6% year-to-date as of the close of trading on Friday.

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 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 and disappointing return on equity.

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.
  • SPU, with its very weak revenue results, has greatly underperformed against the industry average of 16.5%. 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.
  • Looking at where the stock is today compared to one year ago, we find that it is higher, and it has outperformed the rise in the S&P 500 over the same period, despite the company's weak earnings results. Turning our attention to the future direction of the stock, we do not believe this stock offers ample reward opportunity to compensate for the risks, despite the fact that it rose over the past year.

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.