Financial Review of High EPS Growth Stocks of Services Sector in Previous Five Years – KORS, FIS, EBAY, NFLX, DG

  on Jan 24,2013 Posted in Finance ,Investment Ideas
 
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Earnings per share is define as a firm’s profit divided by its number of common outstanding shares. For example, if a corporation earning $2 million in one year had 2 million common shares of stock outstanding, its Earnings per share would be $1 a share.

The corporation in calculating EPS often uses a weighted average of shares outstanding regarding the reporting term. The one-year earnings per share growth rate is measured as the percentage change in earnings per share.

The probable earnings per share growth rate is measured as the percentage change in this year’s earnings and the median forecast earnings for coming year. In this article we will discuss top five services sector stocks with higher EPS growth in previous five years with market volume over two million.

Michael Kors Holdings Ltd (NYSE:KORS) has the market capitalization of 11.11 billion and the security offered highest EPS growth in earlier five years according to FINVIZ data and its EPS growth ratio in past five years was 43.94%. The return on assets ratio of KORS was 31.16% while its return on investment ratio was 41.59%. The company marked the first rank in services sector by offering highest EPS in past 5 years. Price to sales ratio was 6.53 while 72% of stock was owned by Institutional investors. Michael Kors Holdings earned $242.08 million in previous twelve months.

Fidelity National Information Services (NYSE:FIS) offered 93.56% EPS in previous five years and marked the second best place. The Jacksonville, Florida based company has 7.83% return on equity value while its ROI ratio was 4.37%. The company has 11.06 billion market capitalizations and the institutional ownership was 77%. Its price to book ratio was 1.66 while PEG ratio was 1.83. Volatility of the stock was 1.32% for the week while for the month booked as 1.60%.

Another services sector stock of the similar group offering highest past EPS growth is eBay Inc (NASDAQ:EBAY). The company has market capitalization of 69.07 billion. The San Jose, California based online platform has 1.29 billion shares outstanding while EPS ratio in next five years was 14.37% while EPS growth in past 5 year were 51.01%.Company’s price to sale ratio was 4.91 while price to book ratio was 3.47. EBay follows Michael Kors Holdings and Fidelity National in offering high EPS growth in previous 5 years.

Netflix, Inc (NASDAQ:NFLX) has market capitalization of 5.74 billion while its P/E ratio was 130.70. The company has the institutional ownership of 97% while the Beta factor, which is used riskiness of the security, was 0.56. The company EPS growth in earlier 5 years was 42.53%. In the liquidity ratio analysis; current ratio was 1.39 while debt to equity ratio was 0.56.

Dollar General Corp (NYSE:DG) has the market capitalization of 14.81 billion and the security offered EPS growth in earlier 5 years of 38.24%. The return on assets (ROA) ratio of DG was 9.27% while its return on investment (ROI) ratio was 11.04%. Price to sales ratio was 0.93 while 110% of shares were owned by Institutional investors. The company earned $927.75 million in earlier 12 months on revenue of $16 billion.

Disclosure: The views and opinions expressed in this article are exclusively those of the authors who have no stake in any stocks mentioned, and hold no plan to acquire any stake within the next 5 days.

 



 

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