The current recommendation of Buy for athenahealth Inc (NASDAQ:ATHN) has been derived by using the Portfolio Grader stock evaluator of Louis Navellier, which incorporates his investing system. This represents no change from the previous week and is the same ranking ATHN has had from Portfolio Grader for 2 months.
With a $5.3 billion market value, ATHN ranks in the top quarter of its industry group, Health Care Technology, and in the top quarter of its sector group, Health Care, in market value. From the perspective of investment attractiveness, Portfolio Grader's current ranking for ATHN puts it 7 among the 24 companies in this industry group, placing it in the top half; in the top half of the sector with a ranking of 209 among the 782 companies in the sector of its Health Care sector, and number 1,138 in the nearly 5,000 company Portfolio Grader universe.
The Health Care sector is ranked number 7 among the 12 sectors in the Portfolio Grader universe putting it in the third quartile of all the GICS sectors. The Health Care Technology industry group is ranked 21 among the 69 industry groups within the GICS sectors, placing it near the average in terms of the Navellier scoring system.
athenahealth has realized above-average scores in 3 of the 8 fundamental areas evaluated by Portfolio Grader and average or below-average grades in 5 of the areas used in the ranking of company stocks.
The company's operational scores are below the industry norms for sales growth, operating margin, and earnings growth. Scores for visibility of earnings are superior with a ranking for earnings revisions, earnings surprises and earnings momentum that are discernibly better than average. ATHN's scores for cash flow and return on equity are worse than its industry group average. athenahealth's fundamental scores give ATHN a place in the third quartile of the industry group.
Portfolio Grader uses the Navellier Proprietary Quantitative Score to measure ATHN's shares from the angle of risk/reward. This exclusive scoring approach assesses the relative value of the company's shares based on the current price of the shares relative to its peers, the market and risk associated with its industry and sector groups. Based on this risk/reward calculation, ATHN currently scores above-average in its industry group compared to its peers.
Louis Navellier's proprietary Portfolio Grader stock ranking system assesses roughly 5,000 companies every week based on a number of fundamental and quantitative measures. Stocks are given a letter grade based on their results, with A being 'strong buy' and F being 'strong sell'. Explore the tool here.
Commentary provided by UpTick Data Technologies.