feed2list
returnIndex  |  returnText feeds bookmark
Search and browse in Text feeds
   search hits: 2287
Latest TSC Headlines
website Latest TSC Headlines
Check out the latest headlines from TheStreet.com network.

NEW YORK (The Deal) -- Germany's Sky Deutschland Holdingaon Wednesday recommended minority shareholders reject a €2.5 billion ($3.2 billion) offer from British Sky Broadcasting Group plc, which agreed to buy the 57.4% held by its own largest shareholder, Twenty-First Century Fox , in July as part of a wider $9 billion-plus plan to consolidate Fox's European pay-TV interests. The Unterfoehring, Germany-based group's recommendation was based solely on price, with the company saying both its management and supervisory board largely "share the assessment by the bidder that BSkyB and Sky Deutschland ideally complement each other in the best interests of the company and its dedicated employees, and the remaining Sky Deutschland shareholders, as well as its other stakeholders." But they said the €6.75-per-share offer "does not reflect the full potential and thus intrinsic value of Sky Deutschland's business." It cited analysts' valuations, including a JPMorgan Chase atarget price of €10.00. It said board members holding Sky Deutschland shares, including management board member and group CEO Brian Sullivan, and the supervisory board's Stefan Jentzsch and Harald Rosch, don't plan to accept the offer. The group's directors recommended other shareholders do the same, though said they "acknowledge that investors interested in realizing their investment in the short term or with reduced risk appetite may consider the offer price as adequate." Sky Deutschland's take on the offer comes as little surprise and follows public criticism of the price from shareholders including Odey Asset Management, which owns about 8.9% and said that it won't be tendering its stake. BSkyB, of Isleworth, England, has wavered little from the strategy it stated in May of launching a bid for its German affiliate without offering a premium. A person familiar with the situation on Wednesday reiterated that the British company won't raise its bid, even if it means having to content itself with the 57.4% stake it is buying from Twenty-First Century Fox. The offer to minority shareholders was a mandatory one and BSkyB has reserved the right to gradually buy up further shares on the market. BSkyB would need 75% of Unterfoehring, Germany-based Sky Deutschland in order to get a so-called domination agreement and therefore access to Sky Deutschland's cash flow, though it said when it launched its offer that it doesn't plan to seek one. It also said it's not aiming to squeeze out shareholders that don't tender their stock. The takeover of a majority of Sky Deutschland is a condition for BSkyB consummating its agreed purchase of 21st Century Fox's wholly owned Sky Italia Sarl. The transactions together would create a pan-European pay-TV company with 20 million subscribers, lift BSkyB's revenue from u7.6 billion to u11.2 billion, and increase its purchasing power for programming like Germany's Bundesliga soccer matches. Sky Deutschland shares were little changed, at €6.738, by early afternoon in Germany on Wednesday. The Sky Deutschland tender will run until Oct. 5. BSkyB shareholders will meet on Oct. 6 to vote on the transaction. BSkyB shares were up 0.5 pence in London, at 876.5 pence. In reaching its assessment, Sky Deutschland took advice from Bank of America Merrill Lynch awhich gave a fairness opinion on the BSkyB offer. The transaction gained European Commission approval last week.

Click to view a price quote on FOX.

Click to research the Media industry.


NEW YORK (TheStreet) -- Shares of Net Element International Inc. are rising higher by 52.31% to $3.96 at the start of trading on Wednesday, after the company announced it will integrate Apple aservices into its point-of-sale payment acceptance hardware and software, "enabling company merchants the ability to accept Apple Pay from customers." "This new service will create a unique experience for customers who want to pay at the point-of-sale using their Apple iPhone 6, Apple iPhone 6 Plus and Apple Watch devices," Net Element said. In October, Apple will launch "Apple Pay" which will allow customers to use their iPhone 6 or Apple Watch to make payments by holding the device near a contactless reader, a vibration and a beep will let customers know the payment was completed. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. NETE data by YCharts EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on NETE.

Click to research the Internet industry.


NEW YORK (TheStreet) -- Microsoft declared a dividend of 31 cents per share, and 11% increase over its previous dividend, payable December 11 to shareholders of record on November 20. The 11% increase representsaMicrosoft's smallest quarterly payout increase since 2009. Microsoft shares are down 0.5% to $46.52 in early market trading today. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings team rates MICROSOFT CORP as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation: "We rate MICROSOFT CORP (MSFT) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, reasonable valuation levels and good cash flow from operations. We feel these strengths outweigh the fact that the company has had sub par growth in net income." Highlights from the analysis by TheStreet Ratings Team goes as follows: MSFT's revenue growth has slightly outpaced the industry average of 11.9%. Since the same quarter one year prior, revenues rose by 15.6%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share. MSFT's debt-to-equity ratio is very low at 0.25 and is currently below that of the industry average, implying that there has been very successful management of debt levels. To add to this, MSFT has a quick ratio of 2.31, which demonstrates the ability of the company to cover short-term liquidity needs. Compared to its closing price of one year ago, MSFT's share price has jumped by 42.85%, exceeding the performance of the broader market during that same time frame. Regarding the stock's future course, although almost any stock can fall in a broad market decline, MSFT should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year. Net operating cash flow has significantly increased by 61.17% to $9,514.00 million when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of 42.54%. You can view the full analysis from the report here: MSFT Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on MSFT.

Click to research the Computer Software & Services industry.


NEW YORK (TheStreet) -- Major U.S. stock markets opened little changed Wednesday as investors refrained from making bold moves, bracing for any changes to the Federal Reserve's language when it makes a rates announcement this afternoon. The Dow Jones Industrial Average was flat. The S&P 500 was up 0.12%. The Nasdaq was up 0.11%. Read More: September 17 Premarket Briefing: 10 Things You Should Know Stocks finished on solid footing Tuesday on a report that China is injecting large-scale stimulus to its top banks. Stocks also got a boost after The Wall Street Journal's Jon Hilsenrath reported that the Fed may be keeping its "considerable time" wording on near-zero interest rates in Wednesday's policy projections. While a growing number of Wall Street strategists forecast a bump up in interest rates sooner than many expect -- to as early as the first quarter of next year -- Scott Wren, senior equity strategist at Wells Fargo, still expects that the markets will have to wait until the fall of 2015ato see the first increase. He explained that the Fed would not want to make the mistake of raising interest rates too soon and risk tipping the economy back toward a slower pace of growth. "The Fed is not going to need to hurry and is going to be very careful," said Wren. Read More: What's Keeping the Fed From Raising Short-Term Interest Rates Ed Yardeni, chief investment strategist at Yardeni Research, added that Fed Chair Janet Yellen is bound to tone down any hawkishness in the Fed statement by stressing that labor market conditions remain weak. She will also reiterate that wage inflation remains too low, Yardeni predicted. "In my opinion, she is likely to remain 'The Fairy Godmother of the Bull Market,'" said Yardeni. The interest rate announcement will take place at 2 p.m. EDT, followed by a press conference with Yellen at 2:30 p.m. The consumer price index for August fell 0.2% compared with economists' calls for a flat reading. The index rose 0.1% in July. The other economic report expected Wednesday is the National Association of Home Builders Housing Market Index for September at 10 a.m. EDT. In corporate headlines Wednesday, Family Dollar Stores' board unanimously recommended that Family Dollar shareholders reject Dollar General's offer and unanimously reaffirmed its support for a deal with Dollar Tree . Family Dollar was down 0.18%. Dollar General was flat. Dollar Tree was up 0.25%. Endo International made an unsolicited offer for Auxilium Pharmaceuticals that values Auxilium at $28.10 a share, a 31% premium to Auxilium's closing price on Tuesday of $21.52. Auxilium surged 42.57%. Endo popped 3.47%. Sony said Wednesday it expects its annual loss to widen to $2 billion and has canceled dividends for the first time in more than half a century after writing down the value of its troubled smartphone business. Sony lost nearly 8% in early morning trades. Homebuilder Lennar advanced 4.11% after posting fiscal third-quarter profit of 78 cents a share, up from 54 cents a year earlier. FedEx rose 3.45% after the shipping giant reported earnings growth of 37% to $2.10 a share on a revenue increase of 6% to $11.7 billion amid solid volume and sales increases at FedEx Freight. Analysts expected $1.96 in EPS on revenue of $11.48 billion. FedEx said on Tuesday it would raise U.S. rates for express, ground and home-delivery shipments in January by an average of 4.9%. General Mills shed 2.12% after the packaged goods company posted a 25% drop in quarterly net income to $345.2 million. Revenue also slipped as the company said that it was facing a tough U.S. market environment. The SPDR Gold Trust and the United States Oil Fund were flat. Read More: Stock Market Today: Stock Markets Surge on Global Stimulus Bets -- By Andrea Tse and Kurumi Fukushima in New York Follow @AndreaTTse

Click to view a price quote on ^DJI.

NEW YORK (TheStreet) –– Adobe shares fell sharply after the company reported fiscal third-quarter results that were below Wall Street estimates, including the company's number of paid subscribers to its Creative Cloud suite, as it transitions to a software-as-a-service (SaaS) company. The stock fell 2.4% in early trading Wednesday. For the third quarter, Adobe earned 28 cents a share on a non-GAAP basis on sales of $1.01 billion in sales, as it added 502,000 paid subscribers to its Creative Cloud suite, which includes Photoshop, Illustrator and InDesign. "Adoption of Creative Cloud and Adobe Marketing Cloud continues to accelerate," said CEO and President Shantanu Narayen in a statement. "We are the leader in both of these high-growth categories and have a rapidly growing pipeline, setting us up for a strong finish to the year in Q4." Analysts surveyed by Thomson Reuters were expecting earnings of 26 cents a share on $1.015 billion in revenue. Adobe is transitioning to beaa SaaS company so that it can generate more predictable recurring revenue, something investors have favored. Over the past year, shares of Adobe have gained 48.1%, severely outpacing the 22.3% gain in the NASDAQ. For the fiscal fourth quarter, which ends in November, Adobe said it expects to earn between 26 cents and 32 cents a share on an adjusted basis, with revenue expected to be between $1.03 billion and $1.08 billion. Analysts expect an adjusted profit of 31 cents a share and $1.09 billion in sales. Following the quarter, analysts were largely positive on Adobe's future, as it continues to transition into a subscription business. Here's what a few analysts had to say: Citigroup analyst Walt Pritchard (Buy, No PT) "Subscriber additions and underlying drivers solid, but upside more muted - Adobe added 502K subscribers, ahead of our estimate of 481K and consensus of 495K. While the suite vs. point product mix was about as we modeled, management noted a slower start to reseller channel sales of Creative Cloud. This lag likely drove higher perpetual revenue and held back subscriber growth from where some expected it could come in. Management noted ARPU declined slightly Q/Q, although it was barely perceptible in our math." Pacific Crest Securities analyst Brendan Barnicle (Outperform, $75 PT) "While the focus of the quarter is likely to be on the changes in the Marketing Cloud, the company had 502,000 incremental Creative Cloud subscribers, above the consensus estimate of 495,000. ARR was $1.62 billion, slightly lower than consensus of $1.64 billion. The change to term licenses in Digital Marketing will result in lower estimates, but it is driving larger deals. The company had a 40% increase in Digital Marketing deals over $500,000. Adobe is successfully becoming the marketing platform of choice for CMOs." JMP Securities analyst Patrick Walravens (Market Outperform, $82 PT) "We maintain our Market Outperform rating and $82 price target on Adobe Systems after the company reported better than expected F3Q14 non-GAAP EPS of $0.28 (consensus of $0.26) on a slight revenue miss ($1.005 billion versus consensus of $1.010 billion), leading the stock to trade down 5% after hours. Adobe has seen an uptick in term-based bookings for its marketing cloud offerings, leading to less upfront revenue, and below consensus F4Q14 revenue guidance of $1.025-$1.075 billion (consensus of $1.09 billion), and to non-GAAP EPS of $0.26-$0.32 (consensus of $0.31). We would be buyers on any weakness as we think revenue accounting issues have temporarily masked the health of the underlying business during its transition to a subscription-based business, the transition is largely complete, and Adobe should begin to reap the benefits in the coming quarters with accelerating (and increasingly recurring) revenue growth. We increase our non-GAAP EPS estimate for FY14 to $1.25 from $1.23 (consensus of $1.23) and maintain our FY15 EPS estimate of $2.14 (consensus of $2.09). Our $82 price target represents a FY16E P/E of 23x, in line with our projected FY16 revenue growth rate." Read More: Warren Buffett's Berkshire Hathaway Has the Most Cash in America --aWritten by Chris Ciaccia in New York >Contact by Email. Follow @Chris_Ciaccia // 0;if(!d.getElementById(id)){js=d.createElement(s);js.id=id;js.src="//platform.twitter.com/widgets.js";fjs.parentNode.insertBefore(js,fjs);}}(document,"script","twitter-wjs"); // ]]>

Click to view a price quote on ADBE.

Click to research the Computer Software & Services industry.


NEW YORK (TheStreet) -- Auxilium Pharmaceuticals shares are up 42.4% to $30.65 in trading on Wednesday after the company said that it will examine a takeover bid from health care company Endo International . Endo International is reportedly offering $28.10 per share, valuing the men's health medicines produceraat about $2.2 billion, a 31% increase from the stock's closing price yesterday. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Separately, Auxilium said that the proposed bid will not affect its purchase of Canadian drug maker QLT. Endo International shares are up 3.4% to $67.40 in early market trading today. You can view the full analysis from the report here: AUXL Ratings Report AUXL data by YCharts EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on AUXL.

Click to research the Drugs industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Weis Marketsa has been downgraded by TheStreet Ratings from Buy to Hold with a ratings score of C+. aTheStreet Ratings Team has this to say about their recommendation: "We rate WEIS MARKETS INC (WMK) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, feeble growth in the company's earnings per share and deteriorating net income." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: WMK's revenue growth has slightly outpaced the industry average of 3.4%. Since the same quarter one year prior, revenues slightly increased by 4.5%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share. WMK has no debt to speak of therefore resulting in a debt-to-equity ratio of zero, which we consider to be a relatively favorable sign. Although the company had a strong debt-to-equity ratio, its quick ratio of 0.91 is somewhat weak and could be cause for future problems. 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. When compared to other companies in the Food & Staples Retailing industry and the overall market, WEIS MARKETS INC's return on equity is below that of both the industry average and the S&P 500. WEIS MARKETS INC's earnings per share declined by 46.7% in the most recent quarter compared to 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, WEIS MARKETS INC reported lower earnings of $2.67 versus $3.07 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 & Staples Retailing industry. The net income has significantly decreased by 47.1% when compared to the same quarter one year ago, falling from $24.18 million to $12.80 million. You can view the full analysis from the report here: WMK Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on WMK.

Click to research the Retail industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Telefonica Brasila has been upgraded by TheStreet Ratings from Hold to Buy with a ratings score of B-. aTheStreet Ratings Team has this to say about their recommendation: "We rate TELEFONICA BRASIL SA (VIV) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels, expanding profit margins, good cash flow from operations and increase in net income. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: The revenue growth came in higher than the industry average of 1.7%. Since the same quarter one year prior, revenues rose by 14.7%. Growth in the company's revenue appears to have helped boost the earnings per share. The gross profit margin for TELEFONICA BRASIL SA is rather high; currently it is at 62.47%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 22.77% significantly outperformed against the industry average. Net operating cash flow has increased to $1,152.50 million or 44.33% when compared to the same quarter last year. In addition, TELEFONICA BRASIL SA has also vastly surpassed the industry average cash flow growth rate of -22.25%. The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Diversified Telecommunication Services industry. The net income increased by 139.7% when compared to the same quarter one year prior, rising from $380.29 million to $911.46 million. You can view the full analysis from the report here: VIV Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on VIV.

Click to research the Telecommunications industry.


Editor's Note: This article was originally published at 12:44 p.m. on Real Money Pro on Sept. 16. Sign up for a free trial of Real Money. When appropriate, you can count on me deliveringaa contrarian view of the markets, asset classes, sectorsaand individual equities. You all might not agree with me, but I will accompany that view with a synopsis of my analysis. More often than not, consider this delivery as food for thought that should be weighed against conventional wisdom. Yesterday's Apple column is a good example of what I hope you all think is a value-added contribution. In that missive, I concluded that with the launch this week of the new products, the last important product upgrade cycle (iPhone)ais now upon the company and it is unlikelyathat any new products will move the company's needle beyond this cycle. Investors may look through this eventuality and revise Apple's valuation lower in the months ahead. Bottom line: Apple is a maturing company whose growth rate might be even less than overall corporate profit growth over the next decade -- Daily Diary, "Why I Offer a Contrarian View on Apple, Etc." Over the weekend, Barron's published a piece that criticized my recent analysis of Apple. Let me start by saying that I bleed Barron's blue.aMy relationship with Barron's has been rich, deep and rewarding, and it will continue to be for years to come. Most important, I accept constructive criticism (from Barron's or anyone else), particularly when the author is Tiernan Ray, probably the best technologyareporteraaround. I encourage strong, fact-filled criticism because it's a learning process for me. And such is the case with the Barron's piece over the weekend. That said, I'll offer my response. First, the title, "Apple: Don't Listen to the Doomsayers" is hyperbolic. I understand that column titles are usually the purview of editors, not reporters, but in no way should my analysis in "Apple's Core Is Weak" be construed as being that of a "doomsayer." My conclusion was far different: "Let me also make it clear that I expect Apple to underperform the markets, but I don't expect Apple's shares to drop from $100 to $55, which would be similar to its decline from September 2012 to May 2013. I am simply of the view that Apple's shares are overpriced within the context of an expensive U.S. stock market. Bottom Line At the core of my concern is that Apple's past successes are not likely to be repeated in the future. The company's sales base has grown so large that Apple is not likely to benefit from the introduction of new needle-moving products. The competitive landscape has changed in the last few years, and Apple's core product (the iPhone) lacks superiority relative to its competition. As a result, Apple's earnings growth is settling down to a more modest path relative to history and to overall corporate profits, and its near-record-high P/E ratio is inflated." Apart from the sensational title (and reference to doomsayers, which I am not), I felt the Barron's piece was fair, though I disagree with its conclusions. Barron's pushback (and the pushback from other Apple bulls) last week was reminiscent,aand no different to, the response I experienced in my bear case for Apple in September 2012, prior to a more than 40% drop in Apple's share price. At the core of my original argumentatwo years ago was that Apple's shares were overhyped and headed for a fall (and did) as: The competitive landscape was growing more challenginga(it did). Apple would start to lose global market share at a faster pace (it did, dropping from about 17% to 12%). The above would reduce profit margins (to be fair, Ray highlighted this, too) that peaked at 44% in 2012 and now are about 38% (so I was correct on this score as well). The above would also result inathe absence of big consensus beats in sales and profits, which have characterized the prior five yearsa(the company failed to materiallyabeat in ensuing quarters).a At the core of my argument in last week's Diary postais my belief that Apple shares will underperform the market: Competitors continue to make market-share inroadsainto a company (Apple) that sells less for more. Apple's P/E ratio has expanded in the last six months (as Ray noted) and has likely discounted a strong iPhone 6 product upgrade cycle. The iPhone 6 upgrade will likely be the last major upgrade for the company (and valuations, which have expanded in recent months, will contract in the period ahead). Profit margins will continue to slip. After about two quarters of consensus meeting or beating (investor expectations) the upgrade cycle, Apple will continue to lose market share. Apple has challenges to moving the overall needle with new products given the size of the companya(each product launch has had a more limited impact on results). Apple is no longer an innovator, and a strategy of selling less for more is not sustainable and does not merit the largest market cap in the world. Selling less for more has already resulted in drastic share loss.aBeing a market-share loser does not merit the largest market cap in the world.a Though it's down toa10% in global market share, Apple will remain a strongaecosystem in which consumers continueato upgrade their products regularly. But the near-90% repeat upgrades is exposed and has likely peaked.aSo willathe annual EPSagrowth of the last five years ever be repeated? EPS growth, which averaged 40% per year in the past five years, is likely to fall into the +5% to +10% range in the next five years, at besta, and has a real risk of shrinking after this cycle completes. Ray uses the argumentathat Apple's share-price rebound this year is proof that my analysis in 2012 might be wrong. The reality is that Apple has consistently lost market share since my bear case was initially presented two years ago. I think he mixes apples with oranges using this argument, especially since I purchased the stock after being badly beaten up in early 2013. Apart from the hyperbolic title of the Barron's piece, I thought it was fair. But I stand by my investment conclusion and analysis, and I even look forward to "debating" my buddy Tiernan Rayain the future. Apple remains all about the iPhone. All the ancillary businesses -- Apple Watch, Apple Pay, HealthKit, HomeKit and the resta-- make customers feel more tied to the iPhone and tells me that the company's installed base will continue toaupgrade (albeit at a lesser rate than in the past). You may tell meame that the stock is going up, but don't tell me an overpriced, underspec'd phone that's two years late to the market will forever keep its competitive position and lead. As evidenced by the brand loyalty (nearly 90% of Apple iPhone users upgrade with another iPhone), for years Apple's success with the iPhone has not been a race to the best technical specs; several manufacturers have offered phones with superior features over the past few years. (As an example, the Q8 processor is a sixth smaller and Apple has stopped adding transistors to theacore CPU to extend battery life). For years, the customer's ease of use (better software and integration)ahas trumped fewer features at a higher price. This might change in the years ahead. After all,awhen you are competing based on hardware differentiation, you are a hardware company. And if it does change,ait could jeopardize Apple's core base. The culture of disruption is often replaced by Apple's past spectacular successes, and its resulting size represents one of the largest headwinds to future growth. The culture of disruption is often replaced by bureaucracy. In that setting, ambitious missions, disruptive goals and spectacular innovation are often left behind. We can see evidence of the perception of theacompany's growing maturity by lookingaat a 15-year price chart of Apple and peg it to these product introduction dates: iTunes, January 2001 iPod, October 2001 iPod Nano, January 2005 iPhone, February 2007 iPad, April 2010 If we discount the market crashes of 2001 and 2008, the chart indicates a steady narrowing of the share-price gains from each successive product launch. Meanwhile, research and development expensesacontinue to climb to sustain the older products, leaving less in each cycle for investment in disruptive technologies. Not surprisingly, Apple has reported strong initial demand for the iPhone 6 in the last few days,ayet the shares have actually fallen. This could be evidence that investors are paying heed to my concern that shares are "overowned" and/orathere are few marginal buyers left. Apple's best days (for the company and the shares)amight be behind it, and that its virtuous cycle (with customers, subsidizing telecoms and shareholders) may be ending.

Click to view a price quote on AAPL.

Click to research the Consumer Durables industry.


NEW YORK (TheStreet) -- RATINGS CHANGES ADT was upgraded to buy at TheStreet Ratings. You can view the full analysis here: ADT Ratings Report Freeport-McMoRan was upgraded to buy at TheStreet Ratings. You can view the full analysis from the report here: FCX Ratings Report Read More: Warren Buffett's Top 10 Dividend Stocks Read More: What to Know About the U.S. Economy as the End of 2014 Draws Near Editor's note: To see analysts' stock comments and changes to price targets and earnings estimates, go to "Street Notes" which is available only to Real Money subscribers. To find out how to become a subscriber, please click here. Follow TheStreet on Twitter and become a fan on Facebook.

Click to view a price quote on ADT.

Click to research the Diversified Services industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Rent-A-Centera has been upgraded by TheStreet Ratings from Hold to Buy with a ratings score of B-. aTheStreet Ratings Team has this to say about their recommendation: "We rate RENT-A-CENTER INC (RCII) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, expanding profit margins and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had somewhat weak growth in earnings per share." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: RCII's revenue growth has slightly outpaced the industry average of 0.0%. Since the same quarter one year prior, revenues slightly increased by 1.7%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share. The gross profit margin for RENT-A-CENTER INC is currently very high, coming in at 93.92%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 2.26% trails the industry average. RCII's debt-to-equity ratio of 0.69 is somewhat low overall, but it is high when compared to the industry average, implying that the management of the debt levels should be evaluated further. The share price of RENT-A-CENTER INC has not done very well: it is down 22.69% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. Looking ahead, although the push and pull of the overall market trend could certainly make a critical difference, we do not see any strong reason stemming from the company's fundamentals that would cause a continuation of last year's decline. In fact, the stock is now selling for less than others in its industry in relation to its current earnings. You can view the full analysis from the report here: RCII Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on RCII.

Click to research the Specialty Retail industry.


NEW YORK (TheStreet) -- DA Davidson upgraded MB Financial to 'buy' from 'neutral' with a price target of $33.a The firm's current price target of $33 is up from their previous price objective of $31. The price objective suggests a potential upside of 14.98% from the company's current price. Shares of the financial services firm are higher by 49 cents to $28.71 in pre-market trading. Must Read: Warren Buffett's 25 Favorite Stocks aSTOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings team rates MB FINANCIAL INC/MD as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation: "We rate MB FINANCIAL INC/MD (MBFI) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its expanding profit margins, good cash flow from operations, attractive valuation levels and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income." Highlights from the analysis by TheStreet Ratings Team goes as follows: The gross profit margin for MB FINANCIAL INC/MD is currently very high, coming in at 97.13%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 20.44% is above that of the industry average. Net operating cash flow has increased to $69.24 million or 10.76% when compared to the same quarter last year. In addition, MB FINANCIAL INC/MD has also vastly surpassed the industry average cash flow growth rate of -97.33%. Despite the weak revenue results, MBFI has outperformed against the industry average of 12.9%. Since the same quarter one year prior, revenues slightly dropped by 1.8%. The declining revenue appears to have seeped down to the company's bottom line, decreasing earnings per share. Compared to where it was 12 months ago, the stock is up, but it has so far lagged the appreciation in the S&P 500. Looking ahead, the stock's rise over the last year has already helped drive it to a level which is relatively expensive compared to the rest of its industry. We feel, however, that the other strengths this company displays justify these higher price levels. You can view the full analysis from the report here: MBFI Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on MBFI.

Click to research the Banking industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Navienta has been upgraded by TheStreet Ratings from Sell to Hold with a ratings score of C-. aTheStreet Ratings Team has this to say about their recommendation: "We rate NAVIENT CORP (NAVI) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, good cash flow from operations and increase in stock price during the past year. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and feeble growth in the company's earnings per share." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: Net operating cash flow has increased to $555.00 million or 30.58% when compared to the same quarter last year. In addition, NAVIENT CORP has also vastly surpassed the industry average cash flow growth rate of -38.82%. Compared to where it was 12 months ago, the stock is up, but it has so far lagged the appreciation in the S&P 500. Despite the fact that it has already risen in the past year, there is currently no conclusive evidence that warrants the purchase or sale of this stock. 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 Consumer Finance industry. The net income has significantly decreased by 43.5% when compared to the same quarter one year ago, falling from $543.00 million to $307.00 million. The debt-to-equity ratio is very high at 33.88 and currently higher than the industry average, implying increased risk associated with the management of debt levels within the company. You can view the full analysis from the report here: NAVI Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on NAVI.

Click to research the Computer Software & Services industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Mid-Con Energy Partnersa has been downgraded by TheStreet Ratings from Buy to Hold with a ratings score of C. aTheStreet Ratings Team has this to say about their recommendation: "We rate MID-CON ENERGY PARTNERS -LP (MCEP) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. Among the primary strengths of the company is its expanding profit margins over time. At the same time, however, we also find weaknesses including a generally disappointing performance in the stock itself, feeble growth in the company's earnings per share and deteriorating net income." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: The gross profit margin for MID-CON ENERGY PARTNERS -LP is rather high; currently it is at 58.40%. Despite the high profit margin, it has decreased significantly from the same period last year. Despite the mixed results of the gross profit margin, MCEP's net profit margin of 19.78% significantly outperformed against the industry. MCEP, with its decline in revenue, underperformed when compared the industry average of 3.0%. Since the same quarter one year prior, revenues fell by 14.6%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share. Current return on equity is lower than its ROE from the same quarter one year prior. This is a clear sign of weakness within the company. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market on the basis of return on equity, MID-CON ENERGY PARTNERS -LP has underperformed in comparison with the industry average, but has exceeded that of the S&P 500. MID-CON ENERGY PARTNERS -LP 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. Earnings per share have declined over the last year. We anticipate that this should continue in the coming year. During the past fiscal year, MID-CON ENERGY PARTNERS -LP reported lower earnings of $1.44 versus $1.63 in the prior year. For the next year, the market is expecting a contraction of 18.1% in earnings ($1.18 versus $1.44). 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 Oil, Gas & Consumable Fuels industry. The net income has significantly decreased by 63.5% when compared to the same quarter one year ago, falling from $10.54 million to $3.85 million. You can view the full analysis from the report here: MCEP Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on MCEP.

Click to research the Energy industry.


NEW YORK (TheStreet) --aEaton Corp. was downgraded to "hold" from "buy" at Stifel Nicolaus on Wednesday. The firm said it lowered its rating on the diversified power management company as it believes Eaton lacks near term catalysts. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Separately, TheStreet Ratings team rates EATON CORP PLC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation: "We rate EATON CORP PLC (ETN) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income." Highlights from the analysis by TheStreet Ratings Team goes as follows: ETN's revenue growth has slightly outpaced the industry average of 6.5%. Since the same quarter one year prior, revenues slightly increased by 2.9%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share. Net operating cash flow has slightly increased to $633.00 million or 3.94% when compared to the same quarter last year. In addition, EATON CORP PLC has also modestly surpassed the industry average cash flow growth rate of 3.01%. The current debt-to-equity ratio, 0.53, is low and is below the industry average, implying that there has been successful management of debt levels. Although the company had a strong debt-to-equity ratio, its quick ratio of 0.95 is somewhat weak and could be cause for future problems. EATON CORP PLC 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. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, EATON CORP PLC increased its bottom line by earning $3.90 versus $3.51 in the prior year. This year, the market expects an improvement in earnings ($4.58 versus $3.90). You can view the full analysis from the report here: ETN Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on ETN.

Click to research the Electronics industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Kraft Foods Groupa has been upgraded by TheStreet Ratings from Hold to Buy with a ratings score of B-. aTheStreet Ratings Team has this to say about their recommendation: "We rate KRAFT FOODS GROUP INC (KRFT) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, good cash flow from operations and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: Despite its growing revenue, the company underperformed as compared with the industry average of 3.2%. Since the same quarter one year prior, revenues slightly increased by 0.7%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share. The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Food Products industry and the overall market, KRAFT FOODS GROUP INC's return on equity significantly exceeds that of both the industry average and the S&P 500. Net operating cash flow has slightly increased to $389.00 million or 2.63% when compared to the same quarter last year. In addition, KRAFT FOODS GROUP INC has also modestly surpassed the industry average cash flow growth rate of 2.02%. Compared to where it was 12 months ago, the stock is up, but it has so far lagged the appreciation in the S&P 500. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year. KRAFT FOODS GROUP INC's earnings per share declined by 42.0% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. We feel it is likely to report a decline in earnings in the coming year. During the past fiscal year, KRAFT FOODS GROUP INC increased its bottom line by earning $4.51 versus $0.94 in the prior year. For the next year, the market is expecting a contraction of 29.9% in earnings ($3.16 versus $4.51). You can view the full analysis from the report here: KRFT Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on KRFT.

Click to research the Food & Beverage industry.


Story updated at 9:50 a.m. to reflect market activity. NEW YORK (TheStreet) --aGNC Corp. was upgraded to "outperform" from "neutral" by Wedbush on Wednesday. Shares of GNC gained 0.5% to $39.35 in morningatrading. The analyst firm raised its price target for the company to $46 from $34. GNC has reduced its promotions, and faces easier near-term comps, according to Wedbush analyst Kurt Frederick. "We have seen a decline in store promotional activity in recent weeks following heavy discounting in July/August," Frederick wrote. "Although trends haven't experienced noticeable improvement, recent mailer with coupons personalized to prior purchases, signage less focused on discounting and new products including expanded MusclePharm and GNC PureEdge product lines are a step in the right direction,in our view. Online promotions remain high, however, which we expect to continue." Must Read:aWarren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. ------------ Separately, TheStreet Ratings team rates GNC HOLDINGS INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation: "We rate GNC HOLDINGS INC (GNC) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, notable return on equity and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income." Highlights from the analysis by TheStreet Ratings Team goes as follows: GNC HOLDINGS INC has improved earnings per share by 5.5% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, GNC HOLDINGS INC increased its bottom line by earning $2.72 versus $2.29 in the prior year. This year, the market expects an improvement in earnings ($2.85 versus $2.72). The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. When compared to other companies in the Specialty Retail industry and the overall market, GNC HOLDINGS INC's return on equity exceeds that of the industry average and significantly exceeds that of the S&P 500. 40.37% is the gross profit margin for GNC HOLDINGS INC which we consider to be strong. It has increased from the same quarter the previous year. Along with this, the net profit margin of 10.35% is above that of the industry average. GNC, with its decline in revenue, slightly underperformed the industry average of 0.0%. Since the same quarter one year prior, revenues slightly dropped by 0.1%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share. Currently the debt-to-equity ratio of 1.81 is quite high overall and when compared to the industry average, suggesting that the current management of debt levels should be re-evaluated. Even though the debt-to-equity ratio is weak, GNC's quick ratio is somewhat strong at 1.00, demonstrating the ability to handle short-term liquidity needs. You can view the full analysis from the report here: GNC Ratings Report EXCLUSIVE OFFER:aSee inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners.aClick here to see the holdings for FREE.

Click to view a price quote on GNC.

Click to research the Retail industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Globus Medicala has been downgraded by TheStreet Ratings from Buy to Hold with a ratings score of C. aTheStreet Ratings Team has this to say about their recommendation: "We rate GLOBUS MEDICAL INC (GMED) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we find that the company's profit margins have been poor overall." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Health Care Equipment & Supplies industry. The net income increased by 178.0% when compared to the same quarter one year prior, rising from $7.43 million to $20.65 million. Despite its growing revenue, the company underperformed as compared with the industry average of 7.7%. Since the same quarter one year prior, revenues slightly increased by 6.1%. Growth in the company's revenue appears to have helped boost the earnings per share. GLOBUS MEDICAL INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, GLOBUS MEDICAL INC reported lower earnings of $0.73 versus $0.80 in the prior year. This year, the market expects an improvement in earnings ($0.92 versus $0.73). The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Health Care Equipment & Supplies industry and the overall market on the basis of return on equity, GLOBUS MEDICAL INC has underperformed in comparison with the industry average, but has exceeded that of the S&P 500. The gross profit margin for GLOBUS MEDICAL INC is currently very high, coming in at 81.34%. Regardless of GMED's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, GMED's net profit margin of 18.17% compares favorably to the industry average. You can view the full analysis from the report here: GMED Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on GMED.

Click to research the Health Services industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Freeport-McMoRana has been upgraded by TheStreet Ratings from Hold to Buy with a ratings score of B. aTheStreet Ratings Team has this to say about their recommendation: "We rate FREEPORT-MCMORAN INC (FCX) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, good cash flow from operations, expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had somewhat weak growth in earnings per share." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: The revenue growth came in higher than the industry average of 0.6%. Since the same quarter one year prior, revenues rose by 28.8%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share. Net operating cash flow has increased to $1,386.00 million or 34.04% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -10.20%. 43.73% is the gross profit margin for FREEPORT-MCMORAN INC which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 8.72% trails the industry average. In its most recent trading session, FCX has closed at a price level that was not very different from its closing price of one year earlier. This is probably due to its weak earnings growth as well as other mixed factors. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year. FCX's debt-to-equity ratio of 0.95 is somewhat low overall, but it is high when compared to the industry average, implying that the management of the debt levels should be evaluated further. Despite the fact that FCX's debt-to-equity ratio is mixed in its results, the company's quick ratio of 0.56 is low and demonstrates weak liquidity. You can view the full analysis from the report here: FCX Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on FCX.

Click to research the Metals & Mining industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Electro-Sensorsa has been downgraded by TheStreet Ratings from Buy to Hold with a ratings score of C+. aTheStreet Ratings Team has this to say about their recommendation: "We rate ELECTRO-SENSORS INC (ELSE) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: ELSE's revenue growth has slightly outpaced the industry average of 3.5%. Since the same quarter one year prior, revenues rose by 12.0%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share. ELSE's debt-to-equity ratio is very low at 0.07 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with this, the company maintains a quick ratio of 9.95, which clearly demonstrates the ability to cover short-term cash needs. The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed against the S&P 500 and did not exceed that of the Electronic Equipment, Instruments & Components industry. The net income has significantly decreased by 25.2% when compared to the same quarter one year ago, falling from $0.27 million to $0.20 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. When compared to other companies in the Electronic Equipment, Instruments & Components industry and the overall market, ELECTRO-SENSORS INC's return on equity is below that of both the industry average and the S&P 500. You can view the full analysis from the report here: ELSE Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on ELSE.

Click to research the Electronics industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Copel-Cia Paranaense Energiaa has been downgraded by TheStreet Ratings from Buy to Hold with a ratings score of C+. aTheStreet Ratings Team has this to say about their recommendation: "We rate COPEL-CIA PARANAENSE ENERGIA (ELP) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and increase in stock price during the past year. However, as a counter to these strengths, we also find weaknesses including poor profit margins and weak operating cash flow." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: ELP's very impressive revenue growth greatly exceeded the industry average of 5.4%. Since the same quarter one year prior, revenues leaped by 69.8%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share. The current debt-to-equity ratio, 0.43, is low and is below the industry average, implying that there has been successful management of debt levels. To add to this, ELP has a quick ratio of 1.56, which demonstrates the ability of the company to cover short-term liquidity needs. COPEL-CIA PARANAENSE ENERGIA has improved earnings per share by 11.1% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past year. However, we anticipate underperformance relative to this pattern in the coming year. During the past fiscal year, COPEL-CIA PARANAENSE ENERGIA increased its bottom line by earning $3.53 versus $2.67 in the prior year. For the next year, the market is expecting a contraction of 50.8% in earnings ($1.74 versus $3.53). The gross profit margin for COPEL-CIA PARANAENSE ENERGIA is currently extremely low, coming in at 14.30%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of 7.05% trails that of the industry average. Net operating cash flow has significantly decreased to $220.19 million or 50.05% 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. You can view the full analysis from the report here: ELP Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on ELP.

Click to research the Utilities industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Dsp Groupa has been downgraded by TheStreet Ratings from Buy to Hold with a ratings score of C. aTheStreet Ratings Team has this to say about their recommendation: "We rate DSP GROUP INC (DSPG) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we find that revenues have generally been declining." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: DSP GROUP INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. This trend suggests that the performance of the business is improving. During the past fiscal year, DSP GROUP INC turned its bottom line around by earning $0.12 versus -$0.36 in the prior year. This year, the market expects an improvement in earnings ($0.19 versus $0.12). The company, on the basis of net income growth from the same quarter one year ago, has significantly outperformed against the S&P 500 and exceeded that of the Semiconductors & Semiconductor Equipment industry average. The net income increased by 45.1% when compared to the same quarter one year prior, rising from $0.75 million to $1.09 million. Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. We feel that the combination of its price rise over the last year and its current price-to-earnings ratio relative to its industry tend to reduce its upside potential. DSPG, with its decline in revenue, underperformed when compared the industry average of 10.3%. Since the same quarter one year prior, revenues fell by 10.9%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share. The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Semiconductors & Semiconductor Equipment industry and the overall market, DSP GROUP INC's return on equity significantly trails that of both the industry average and the S&P 500. You can view the full analysis from the report here: DSPG Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on DSPG.

Click to research the Electronics industry.


Story updated at 9:50 a.m. to reflect market activity. NEW YORK (TheStreet) --aStifel Nicolaus initiated coverage of United Technologies with a "hold" rating Wednesday. Shares of United Technologies gained 0.3% to $108.83 in morning trading. The analyst firm set a price target of $118 for the aerospace company. United Technologies lacks near-term catalysts, according to Stifel Nicolaus analysts. Must Read:aWarren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. ------------ Separately, TheStreet Ratings team rates UNITED TECHNOLOGIES CORP as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation: "We rate UNITED TECHNOLOGIES CORP (UTX) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, increase in net income, largely solid financial position with reasonable debt levels by most measures and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity." Highlights from the analysis by TheStreet Ratings Team goes as follows: UTX's revenue growth has slightly outpaced the industry average of 1.3%. Since the same quarter one year prior, revenues slightly increased by 2.2%. Growth in the company's revenue appears to have helped boost the earnings per share. UNITED TECHNOLOGIES CORP has improved earnings per share by 8.2% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, UNITED TECHNOLOGIES CORP increased its bottom line by earning $6.22 versus $5.35 in the prior year. This year, the market expects an improvement in earnings ($6.86 versus $6.22). The net income growth from the same quarter one year ago has exceeded that of the S&P 500, but is less than that of the Aerospace & Defense industry average. The net income increased by 7.7% when compared to the same quarter one year prior, going from $1,560.00 million to $1,680.00 million. The current debt-to-equity ratio, 0.59, is low and is below the industry average, implying that there has been successful management of debt levels. Despite the fact that UTX's debt-to-equity ratio is low, the quick ratio, which is currently 0.69, displays a potential problem in covering short-term cash needs. In its most recent trading session, UTX has closed at a price level that was not very different from its closing price of one year earlier. This is probably due to its weak earnings growth as well as other mixed factors. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year. You can view the full analysis from the report here: UTX Ratings Report EXCLUSIVE OFFER:aSee inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners.aClick here to see the holdings for FREE.

Click to view a price quote on UTX.

Click to research the Industrial industry.


NEW YORK (TheStreet) --aKellogg Co. was downgraded to "hold" from "buy" at Societe Generale on Wednesday. The firm said it lowered its rating on the ready-to-eat cereal and convenience foods manufacturer and marketer as it believes it will take Kellogg years to fix its domestic cereal business, as that sector is losing out to options consumers find more convenient and healthier, theflyonthewall.com reports. Societe Generale reduced its price target on Kellogg to $66 from $68.50. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Separately, TheStreet Ratings team rates KELLOGG CO as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation: "We rate KELLOGG CO (K) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its notable return on equity, good cash flow from operations, increase in stock price during the past year and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income." Highlights from the analysis by TheStreet Ratings Team goes as follows: The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Food Products industry and the overall market, KELLOGG CO's return on equity significantly exceeds that of both the industry average and the S&P 500. Net operating cash flow has slightly increased to $386.00 million or 5.17% when compared to the same quarter last year. In addition, KELLOGG CO has also modestly surpassed the industry average cash flow growth rate of 2.03%. Compared to where it was 12 months ago, the stock is up, but it has so far lagged the appreciation in the S&P 500. Looking ahead, unless broad bear market conditions prevail, we still see more upside potential for this stock, despite the fact that it has already risen over the past year. 42.52% is the gross profit margin for KELLOGG CO which we consider to be strong. Regardless of K's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 8.00% trails the industry average. K, with its decline in revenue, slightly underperformed the industry average of 3.2%. Since the same quarter one year prior, revenues slightly dropped by 0.8%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share. You can view the full analysis from the report here: K Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on K.

Click to research the Food & Beverage industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Cousins Propertiesa has been downgraded by TheStreet Ratings from Buy to Hold with a ratings score of C+. aTheStreet Ratings Team has this to say about their recommendation: "We rate COUSINS PROPERTIES INC (CUZ) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, reasonable valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity and poor profit margins." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: CUZ's very impressive revenue growth greatly exceeded the industry average of 11.6%. Since the same quarter one year prior, revenues leaped by 98.2%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share. Compared to where it was a year ago today, the stock is now trading at a higher level, reflecting both the market's overall trend during that period and the fact that the company's earnings growth has been robust. Despite the fact that it has already risen in the past year, there is currently no conclusive evidence that warrants the purchase or sale of this stock. COUSINS PROPERTIES INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past year. During the past fiscal year, COUSINS PROPERTIES INC increased its bottom line by earning $0.73 versus $0.12 in the prior year. Current return on equity is lower than its ROE from the same quarter one year prior. This is a clear sign of weakness within the company. Compared to other companies in the Real Estate Investment Trusts (REITs) industry and the overall market on the basis of return on equity, COUSINS PROPERTIES INC underperformed against that of the industry average and is significantly less than that of the S&P 500. The gross profit margin for COUSINS PROPERTIES INC is currently extremely low, coming in at 8.86%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of 2.87% significantly trails the industry average. You can view the full analysis from the report here: CUZ Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on CUZ.

Click to research the Real Estate industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Crescent Point Energya has been downgraded by TheStreet Ratings from Buy to Hold with a ratings score of C. aTheStreet Ratings Team has this to say about their recommendation: "We rate CRESCENT POINT ENERGY CORP (CPG) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, compelling growth in net income and good cash flow from operations. However, as a counter to these strengths, we find that the stock has experienced relatively poor performance when compared with the S&P 500 during the past year." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: CPG's revenue growth has slightly outpaced the industry average of 3.0%. Since the same quarter one year prior, revenues slightly increased by 7.0%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share. The company, on the basis of net income growth from the same quarter one year ago, has significantly outperformed against the S&P 500 and exceeded that of the Oil, Gas & Consumable Fuels industry average. The net income increased by 36.3% when compared to the same quarter one year prior, rising from $72.33 million to $98.59 million. CPG's debt-to-equity ratio is very low at 0.29 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Even though the company has a strong debt-to-equity ratio, the quick ratio of 0.41 is very weak and demonstrates a lack of ability to pay short-term obligations. Compared to where it was 12 months ago, the stock is up, but it has so far lagged the appreciation in the S&P 500. We feel that the combination of its price rise over the last year and its current price-to-earnings ratio relative to its industry tend to reduce its upside potential. The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market, CRESCENT POINT ENERGY CORP's return on equity significantly trails that of both the industry average and the S&P 500. You can view the full analysis from the report here: CPG Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on CPG.

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Cott Corp Quea has been upgraded by TheStreet Ratings from Sell to Hold with a ratings score of C. aTheStreet Ratings Team has this to say about their recommendation: "We rate COTT CORP QUE (COT) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strongest point has been its expanding profit margins. At the same time, however, we also find weaknesses including deteriorating net income, generally higher debt management risk and disappointing return on equity." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: COT, with its decline in revenue, slightly underperformed the industry average of 4.8%. Since the same quarter one year prior, revenues slightly dropped by 2.3%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share. COTT CORP QUE 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. However, the consensus estimate suggests that this trend should reverse in the coming year. During the past fiscal year, COTT CORP QUE reported lower earnings of $0.18 versus $0.49 in the prior year. This year, the market expects an improvement in earnings ($0.36 versus $0.18). The share price of COTT CORP QUE has not done very well: it is down 7.24% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. Turning toward the future, the fact that the stock has come down in price over the past year should not necessarily be interpreted as a negative; it could be one of the factors that may help make the stock attractive down the road. Right now, however, we believe that it is too soon to buy. The debt-to-equity ratio of 1.12 is relatively high when compared with the industry average, suggesting a need for better debt level management. Along with the unfavorable debt-to-equity ratio, COT maintains a poor quick ratio of 0.79, which illustrates the inability to avoid short-term cash problems. Current return on equity is lower than its ROE from the same quarter one year prior. This is a clear sign of weakness within the company. Compared to other companies in the Beverages industry and the overall market, COTT CORP QUE's return on equity significantly trails that of both the industry average and the S&P 500. You can view the full analysis from the report here: COT Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on COT.

Click to research the Food & Beverage industry.


Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Allison Transmission Holdingsa has been downgraded by TheStreet Ratings from Buy to Hold with a ratings score of C. aTheStreet Ratings Team has this to say about their recommendation: "We rate ALLISON TRANSMISSION HLDGS (ALSN) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations and notable return on equity. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk and premium valuation." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: ALSN's revenue growth has slightly outpaced the industry average of 4.0%. Since the same quarter one year prior, revenues slightly increased by 4.7%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share. Net operating cash flow has increased to $143.40 million or 10.56% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -24.46%. Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. Compared to other companies in the Machinery industry and the overall market on the basis of return on equity, ALLISON TRANSMISSION HLDGS has underperformed in comparison with the industry average, but has exceeded that of the S&P 500. The debt-to-equity ratio is very high at 2.06 and currently higher than the industry average, implying increased risk associated with the management of debt levels within the company. Along with the unfavorable debt-to-equity ratio, ALSN maintains a poor quick ratio of 0.94, which illustrates the inability to avoid short-term cash problems. You can view the full analysis from the report here: ALSN Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on ALSN.

Click to research the Automotive industry.


text Adt (ADT) Upgraded From Hold to Buy
Wed, 17 Sep 2014 13:04 GMT

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Adta has been upgraded by TheStreet Ratings from Hold to Buy with a ratings score of B-. aTheStreet Ratings Team has this to say about their recommendation: "We rate ADT CORP (ADT) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, expanding profit margins and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: Despite its growing revenue, the company underperformed as compared with the industry average of 4.1%. Since the same quarter one year prior, revenues slightly increased by 1.9%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share. The gross profit margin for ADT CORP is currently very high, coming in at 88.69%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 9.65% trails the industry average. ADT CORP's earnings per share declined by 9.6% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, ADT CORP increased its bottom line by earning $1.88 versus $0.40 in the prior year. This year, the market expects an improvement in earnings ($1.96 versus $1.88). The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. When compared to other companies in the Commercial Services & Supplies industry and the overall market, ADT CORP's return on equity is below that of both the industry average and the S&P 500. You can view the full analysis from the report here: ADT Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on ADT.

Click to research the Diversified Services industry.


NEW YORK (TheStreet) -- Shares of General Mills Inc. are lower by 1.75% to $52.25 in pre-market trading on Wednesday, after the company reported a drop in fiscal 2015 net income to $345.2 million, or 55 cents per diluted share, compared to $459.3 million, or 70 cents per diluted share for the year ago period. The company, which manufacturers and markets branded consumer foods such as Cheerios, Green Giant, and Pillsbury, said adjusted earnings per share were down 13% to 61 cents for the most recent quarter, from 70 cents for the fiscal 2014 first quarter. Analysts polled by Thomson Reuters expected General Mills to post earnings of 69 cents per share. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. The company's net sales declined 2% to $4.27 billion for the latest quarter, analysts were expecting $4.38 billion for the quarter. Separately, TheStreet Ratings team rates GENERAL MILLS INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation: "We rate GENERAL MILLS INC (GIS) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, notable return on equity, expanding profit margins, good cash flow from operations and increase in net income. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated." You can view the full analysis from the report here: GIS Ratings Report GIS data by YCharts EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on GIS.

Click to research the Food & Beverage industry.


NEW YORK (TheStreet) –– Rackspace shares plunged after the cloud computing company announced it ended its formal review process and would remain independent, removing speculation the company would be sold. San Antonio-based Rackspace had previously disclosed it was in discussions with multiple parties who had "expressed interest in exploring a strategic relationship, ranging from partnership to acquisition," but ultimately after conductingi ts due diligence Rackspace's board decided to end the acquisition talks. "We ran a thorough process under the direction of our board of directors, independent advisors, and a Strategic Transaction Committee of the Board," said Rackspace's co-founder and chairman Graham Weston said in a statement.a "In this process we talked to a diverse group of interested parties and entertained different proposals. None of these proposals were deemed to have as much value as the expected value of our standalone plan. We concluded that the company is best positioned to drive value for shareholders, customers and Rackers through the continued execution of its strategic plan to capitalize on the growing market opportunity for managed cloud services." Read More: 8 Stocks George Soros Is Buying in 2014 Shares of Rackspace were plunging in early Wednesday trading, falling 17.3% to $32.55. The company also announced that it had considered buying back stock, but determined that it was not prudent to buy back its own stock to make "the appropriate investments" to keep the company's strategy on track. Rackspace also announced that Weston, who had been Rackspace's CEO since February, would become non-executive chairman, and would be replaced by Taylor Rhodes, effective immediately. Rhodes, who had been Rackspace's president, would also become a member of the board. Following the announcement, analysts were cautiously positive on the company's future prospects, despite the lack of a strategic buyer. Here's what a few of them had to say: Credit Suisse analyst Sitikantha Panigrahi (Outperform, $40 PT) "While we had expected Rackspace to end its strategic evaluation process without being acquired (see our report, Rackspace Solve Takeaways on July 29, 2014), the announcement not to pursue a share repurchase program was a bit of a disappointment to investors. However, we believe that the company might reconsider the share repurchase program in the future given the involvement of activist investors. Furthermore, we have confidence in Taylor Rhodes' leadership and execution, which has been reflected in the last two quarters' results. Additionally, we expect the company to focus on margin expansion. Moreover, the company has changed its strategy to focus on the managed cloud opportunity, and we believe that Rackspace is well positioned to benefit from secular growth trends in cloud and that the company can carve out a niche with its differentiated cloud offerings based on performance, 'fanatical support,' and its OpenStack-based open cloud." Canaccord Genuity analyst Greg Miller (Hold, $35 PT) "After the close Tuesday night, Rackspace Hosting announced that it would promote its current president, Taylor Rhodes, to the CEO position and that it was ending its lengthy evaluation of possible M&A transactions and/or strategic partnerships. Importantly, the company also decided against the implementation of a meaningful share repurchase program that could have provided some support for the stock. Although we expect the stock will come under significant pressure with the clearly disappointing news, we do not believe this represents a catalyst for a continued downward slide in the stock. We believe this team can re-tighten sales cycles and return the company to its previous trajectory." Jefferies analyst Mike McCormack (Hold, $35 PT) "Late Tuesday, Rackspace announced the end of its strategic review process, with the company concluding that its outlook as an independent company outweighed assessed strategic alternatives. The conclusion is not surprising as we believe there was a wide disconnect between potential offers and the company's view of long term value. Shares of RAX should return to trading on fundamentals rather than M&A, with revenue growth the key metric to monitor." JMP Securities analyst Patrick Walravens (Market Outperform, $67 PT) "We maintain our Market Outperform rating and $67 price target on Rackspace after the company announced that it had ended its formal evaluation of the M&A transactions that it first disclosed on May 15 -- leading the stock to drop 17% in the aftermarket as investors hoping for an acquisition registered their disappointment. Rackspace also announced Taylor Rhodes as CEO, indicated it would not authorize an additional stock buyback program at this time, and reiterated its guidance for Q3. While the volatility in the stock caused by the M&A offers and rejection has been unfortunate and difficult for both investors and management, we continue to like the fundamental story at Rackspace because: 1) we believe the company is effectively differentiating its managed cloud solutions from unmanaged offerings from Amazon Web Services, Google, and Microsoft; 2) we expect revenue growth to accelerate; 3) we expect margins to increase; and 4) our initial sense is that Mr. Rhodes is likely to be an effective leader for the company. We look for 2014E non-GAAP EPS of $0.68 (consensus $0.68), and 2015E non-GAAP EPS of $0.87 (consensus $0.88). At its after-hours price, Rackspace trades at a 2015E EV/revenue multiple of 2.0x, and a 2015E EV/EBITDA multiple of 6x; while our $67 price target implies an EV/revenue multiple of 4.4x, and a 2015E EV/adjusted EBITDA multiple of 13x." Read More: Warren Buffett's Berkshire Hathaway Has the Most Cash in America --Written by Chris Ciaccia in New York >Contact by Email. Follow @Chris_Ciaccia // 0;if(!d.getElementById(id)){js=d.createElement(s);js.id=id;js.src="//platform.twitter.com/widgets.js";fjs.parentNode.insertBefore(js,fjs);}}(document,"script","twitter-wjs"); // ]]>

Click to view a price quote on RAX.

Click to research the Computer Software & Services industry.


NEW YORK (TheStreet) -- U.S. stock index futures were trading little changed Wednesday as investors refrained from making any bold moves, bracing for any changes to the Federal Reserve's language when it makes a rates announcementathis afternoon. Dow Jones Industrial Average futures were up 5 points, or 17.03apoints above fair value after setting a new intraday high on Tuesday and finishing just shy of its record close of 17,138. S&P 500 futures were higher by 1.25 points, or 2.42 points above fair value. Nasdaq futures were also up 1.2 points, or 1.63 points above fair value. Read More: September 17 Premarket Briefing: 10 Things You Should Know Stocks finished on solid footing Tuesday on a report that China is injecting large-scale stimulus to its top banks. Stocks also got a boost after The Wall Street Journal's Jon Hilsenrath reported that the Fed may be keeping its "considerable time" wording on near-zero interest rates in Wednesday's policy projections. While a growing number of Wall Street strategists forecastaa bump up in interest rates sooner than many expect -- to as early as the first quarter of next year -- Scott Wren, senior equity strategist at Wells Fargo, still expects that the markets will have to wait until the fall of next year to see the first increase. He explained that the Fed would not want to make the mistake of raising interest rates too soon and risk tipping the economy back toward a slower pace of growth. "The Fed is not going to need to hurry and is going to be very careful," said Wren. Ed Yardeni, chief investment strategist at Yardeni Research, added that Fed Chair Janet Yellen is bound to tone down any hawkishness in the Fed statement by stressing that labor market conditions remain weak. She will also reiterate that wage inflation remains too low, Yardeni predicted. "In my opinion, she is likely to remain 'The Fairy Godmother of the Bull Market,'" said Yardeni. The interest rate announcement will take place at 2 p.m. EDT, followed by a press conference with Yellen at 2:30 p.m. The consumer price index for August fell 0.2% compared with economists' calls for a flat reading. The index rose 0.1% in July. The other economic report expected Wednesday is the National Association of Home Builders Housing Market Index for September at 10 a.m. EDT. In corporate headlines Wednesday, Endo International made an unsolicited offer for Auxilium Pharmaceuticals that values Auxilium at $28.10 a share, a 31% premium to Auxilium's closing price on Tuesday of $21.52. Auxilium surged 40.85% in premarket trading. Sony said Wednesday it expects its annual loss to widen to $2 billion and has canceled dividends for the first time in more than half a century after writing down the value of its troubled smartphone business. Sony lost over 10% in premarket trading. Homebuilder Lennar posted fiscal third-quarter profit of 78 cents a share, up from 54 cents a year earlier. Microsoft raised its quarterly dividend by 11% to 31 cents a share. Software maker Adobe Systems posted fiscal third-quarter revenue on Tuesday that was below Wall Street's expectations. FedEx rose 2.03% after the shipping giant reported earnings growth of 37% to $2.10 a share on a revenue increase of 6% to $11.7 billion amid solid volume and sales increases at FedEx Freight. Analysts expected $1.96 in EPS on revenue of $11.48 billion. FedEx said on Tuesday it would raise U.S. rates for express, ground and home-delivery shipments in January by an average of 4.9%. General Mills shed 3.25% after the packaged goods companyaposted a 25% drop in quarterly net income to $345.2 million. Revenue also slipped as the company said that it was facingaa toughaU.S. market environment. The SPDR Gold Trust and the United States Oil Fund awere flat.a Read More: Stock Market Today: Stock Markets Surge on Global Stimulus Bets -- By Andrea Tse and Kurumi Fukushimaain New York Follow @AndreaTTse

Click to view a price quote on ^DJI.

NEW YORK (TheStreet) --aGeneral Electric Co. was initiated with a "buy" rating and $30 price target at Stifel Nicolaus on Wednesday. The firm said it initiated coverage on the diversified technology company as it believes GE's recent portfolio will bring the company strong growth in 2015. Shares of GE are higher by 0.27% to $26.28 in pre-market trading today. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Separately, TheStreet Ratings team rates GENERAL ELECTRIC CO as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation: "We rate GENERAL ELECTRIC CO (GE) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, increase in net income, increase in stock price during the past year and expanding profit margins. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated." Highlights from the analysis by TheStreet Ratings Team goes as follows: GE's revenue growth has slightly outpaced the industry average of 1.1%. Since the same quarter one year prior, revenues slightly increased by 2.7%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share. GENERAL ELECTRIC CO has improved earnings per share by 12.9% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, GENERAL ELECTRIC CO increased its bottom line by earning $1.47 versus $1.38 in the prior year. This year, the market expects an improvement in earnings ($1.67 versus $1.47). The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and the Industrial Conglomerates industry average. The net income increased by 13.2% when compared to the same quarter one year prior, going from $3,133.00 million to $3,545.00 million. The stock price has risen over the past year, but, despite its earnings growth and some other positive factors, it has underperformed the S&P 500 so far. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year. 49.83% is the gross profit margin for GENERAL ELECTRIC CO which we consider to be strong. Regardless of GE's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 9.87% trails the industry average. You can view the full analysis from the report here: GE Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on GE.

Click to research the Industrial industry.


NEW YORK (TheStreet) -- Shares of Lennar Corp. are up 3.25% to $40.40 in pre-market trade after the homebuilder reported fiscal third-quarter earnings that beat analysts' estimates as it sold more homes at higher prices, Bloomberg reports. Net income in the three months through August was $177.8 million, or 78 cents per share, compared with $120.7 million, or 54 cents, a year earlier, the company said. The average of 20 analyst estimatesawas for earnings of 67 cents a share, according to Bloomberg data. Lennar has boosted earnings by raising prices and using its large size to save money on materials and land purchases as demand for new houses remains uneven, Bloomberg said. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Orders increased 23% to 5,889 homes with a value of $1.9 billion, from 4,785 homes and $1.5 billion a year ago. Revenue jumped 26% to $2 billion. The number of houses delivered was up 9%t to 5,457. TheStreet Ratings team rates LENNAR CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation: "We rate LENNAR CORP (LEN) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in stock price during the past year, increase in net income and notable return on equity. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated." Highlights from the analysis by TheStreet Ratings Team goes as follows: The revenue growth greatly exceeded the industry average of 5.9%. Since the same quarter one year prior, revenues rose by 26.8%. This growth in revenue does not appear to have trickled down to the company's bottom line, displaying stagnant earnings per share. Compared to where it was a year ago today, the stock is now trading at a higher level, regardless of the company's weak earnings results. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year. LENNAR CORP reported flat earnings per share in the most recent quarter. The company has suffered a declining pattern of earnings per share over the past year. However, we anticipate this trend reversing over the coming year. During the past fiscal year, LENNAR CORP reported lower earnings of $2.14 versus $3.10 in the prior year. This year, the market expects an improvement in earnings ($2.58 versus $2.14). The company, on the basis of net income growth from the same quarter one year ago, has underperformed when compared to that of the S&P 500 and the Household Durables industry average. The net income increased by 0.2% when compared to the same quarter one year prior, going from $137.44 million to $137.72 million. The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. When compared to other companies in the Household Durables industry and the overall market, LENNAR CORP's return on equity is below that of both the industry average and the S&P 500. You can view the full analysis from the report here: LEN Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on LEN.

Click to research the Materials & Construction industry.


NEW YORK (TheStreet) --Shares of Rackspace Hosting Inc. are lower by 17.39% to $32.50 in pre-market trading on Wednesday, after the company announced Tuesday afternoon that it has ended its evaluation of alternatives that would result in Rackspace being acquired by another company. The open cloud company said it's committed to remaining independent and has also announced its president, Taylor Rhodes, will take over as CEO in order to "drive its managed cloud strategy." Back in May, the company filed a Form 8-K with the SEC after being approached by multiple parties expressing interest in forming a strategic relationship through either partnership or acquisition. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. "After a comprehensive review, the board decided to terminate M&A discussions. Based on Rackspace's reaccelerated revenue growth and its potential trajectory for the coming year, the board concluded the company is best positioned to maximize shareholder value by executing its strategy as the #1 managed cloud company," Rackspace said. Separately, TheStreet Ratings team rates RACKSPACE HOSTING INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation: "We rate RACKSPACE HOSTING INC (RAX) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and disappointing return on equity." Highlights from the analysis by TheStreet Ratings Team goes as follows: RAX's revenue growth trails the industry average of 43.9%. Since the same quarter one year prior, revenues rose by 17.4%. This growth in revenue does not appear to have trickled down to the company's bottom line, displaying stagnant earnings per share. Although RAX's debt-to-equity ratio of 0.07 is very low, it is currently higher than that of the industry average. To add to this, RAX has a quick ratio of 1.69, which demonstrates the ability of the company to cover short-term liquidity needs. Net operating cash flow has increased to $124.54 million or 17.26% when compared to the same quarter last year. Despite an increase in cash flow, RACKSPACE HOSTING INC's cash flow growth rate is still lower than the industry average growth rate of 41.64%. 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. When compared to other companies in the Internet Software & Services industry and the overall market, RACKSPACE HOSTING INC's return on equity is below that of both the industry average and the S&P 500. RAX has underperformed the S&P 500 Index, declining 24.86% from its price level of one year ago. Looking ahead, we do not see anything in this company's numbers that would change the one-year trend. It was down over the last twelve months; and it could be down again in the next twelve. Naturally, a bull or bear market could sway the movement of this stock. You can view the full analysis from the report here: RAX Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on RAX.

Click to research the Computer Software & Services industry.


NEW YORK (TheStreet) -- Shares of Salix Pharmaceuticals Ltd. are up 1.37% to $158 in pre-market trade as some of the top 20 investors are threatening to vote down a proposed deal to buy a unit of Cosmo Pharmaceuticals, and are pressing Salix to consider selling itself instead, sources told Reuters. North Carolina-based Salix, which makes drugs for gastrointestinal disorders, said in July it would merge with Cosmo's Irish subsidiary, a deal that would allow Salix to move its tax domicile abroad in a practice known as inversion, Reuters said. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. But some Salix shareholders are unhappy with the plan and would rather see a sale to a larger drugmaker such as Actavis aor Allergan , sources said. Investors holding at least a quarter of Salix shares are considering voting the deal down, sources told Reuters. TheStreet Ratings team rates SALIX PHARMACEUTICALS LTD as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation: "We rate SALIX PHARMACEUTICALS LTD (SLXP) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, good cash flow from operations, solid stock price performance and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income." Highlights from the analysis by TheStreet Ratings Team goes as follows: SLXP's very impressive revenue growth greatly exceeded the industry average of 4.8%. Since the same quarter one year prior, revenues leaped by 62.2%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share. Net operating cash flow has significantly increased by 121.67% to $31.47 million when compared to the same quarter last year. In addition, SALIX PHARMACEUTICALS LTD has also vastly surpassed the industry average cash flow growth rate of -1.01%. Compared to its closing price of one year ago, SLXP's share price has jumped by 115.10%, exceeding the performance of the broader market during that same time frame. We feel that the stock's sharp appreciation over the last year has driven it to a price level which is now somewhat expensive compared to the rest of its industry. The other strengths this company shows, however, justify the higher price levels. SALIX PHARMACEUTICALS LTD 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. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, SALIX PHARMACEUTICALS LTD increased its bottom line by earning $2.14 versus $1.01 in the prior year. This year, the market expects an improvement in earnings ($6.17 versus $2.14). The gross profit margin for SALIX PHARMACEUTICALS LTD is currently very high, coming in at 77.63%. Regardless of SLXP's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, SLXP's net profit margin of 0.85% is significantly lower than the industry average. You can view the full analysis from the report here: SLXP Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on SLXP.

Click to research the Drugs industry.


Celgene shares dipped last week on investor concerns related to the safety of the company's experimental Crohn's disease drug GED-031. These concerns are overblown. The weakness in Celgene's stock price is a buying opportunity.a At an investor meeting last week, Celgene management noted a theoretical risk of GED-031, dosed as a pill, causing strictures (fibrosis) in the gut. For this reason, the company is thinking about different dosing schemes for GED-031 in future Crohn's studies to mitigate the potential side effect risk.a Some investors unduly inflated Celgene's comments to mean that reports of strictures were popping up in the ongoing phase II study of GED-031. This is not true. Results from the phase II study are being presented in October, and Celgene has already said there are no reports of strictures. Celgene is merely thinking through the drug's mechanism of action and game-planning potential dosing strategies to minimize the risk of strictures while maximizing commercial potential. In other words, Celgene is engaging in prudent drug development.a Of course, there is still a risk that strictures could develop with longer term treatment of GED-031. It should not surprise anyone that active drugs have potential side effects that need to be examined and moderated. No drug program is risk free. Celgene's phase II study of GED-031 in Crohn's involves induction treatment only. The next phase III studies will have both induction and maintenance treatment protocols. It's entirely reasonable for Celgene to consider mitigation of potential stricture risk if the company believes GED-031 could have a role in the long-term maintenance of Crohn's treatment. Celgene has proven to be one of the savviest dealmakers in the biotech sector. Last April, the company purchased GED-031 from a small Irish drug maker, paying $710 million upfront. Including future milestones and sales payouts, Celgene committed $2.6 billion to acquire rights to GED-031. As a pill, GED-031 has the potential to become a preferred Crohn's therapy over injectable drugs like Abbvie's top-selling Humira.a Importantly, Celgene bought GED-031 after seeing the data from the phase II study in Crohn's. We're not privy to those GED-031 data yet, but we do know the multi-center, randomized, placebo-controlled study met its primary endpoint of achieving Crohn's remission at week 2 and maintenance to week 4. The study also compares maintenance of remission rates between GED-031 and placebo at week 12 as a secondary endpoint.a The first public presentation of the GED-031 phase II data will be on Oct. 21 at a European medical conference. Sobek is long Celgene.

Click to view a price quote on CELG.

Click to research the Drugs industry.


MEMPHIS, Tenn. (TheStreet) -- Restructuring FedEx beat estimates as all three of its transportation segments showed year-over-year improvements. The overnight package company said Wednesday that it earned $606 million, or $2.10 a share, in the fiscal first quarter ended Aug. 31. Analysts surveyed by Thomson Reuters had estimated profit at $1.96 a share. Revenue rose 6% to $11.7 billion. Analysts had estimated $11.5 billion. a Read More: Check Out Spirit Air's New Design -- Or Is That Hughes Air West? In the same quarter a year earlier, FedEx earned $606 million, or $1.53 a share.a "FedEx reported strong first quarter results, as all three of our transportation segments drove higher revenues and improved profitability year over year," said CFO Alan Graf, in a prepared statement. "Our profit improvement programs are progressing as planned and we continue to expect strong earnings growth this." Read More: Take a Look at United Airlines' New Boeing 787 Dreamliner CEO Fred Smith credited "very strong performance at FedEx Ground, solid volume and revenue increases at FedEx Freight and healthy growth in U.S. domestic volume at FedEx Express." Looking ahead, the company reaffirmed its fiscal 2015 earnings forecast of $8.50 to $9.00 per diluted share. In premarket trading, FedEx shares were tradingaat $158.85, up $4.19.aa Read More: 5 Worst U.S. Airlines of All Time In a report issued Tuesday, Buckingham Research analyst Jeffrey Kaufman anticipated a better-than-expected quarter "due to the strong domestic ground freight environment and lower fuel prices throughout the first fiscal quarter." However, Kaufman has a neutral rating and a 12-month price target of $154. He wrote that "longer term, we believe margin expectations at Express are too high." He noted that Asia airfreight export volumes grew 7.5% in August, compared with 1.5% growth in Europe. aWritten by Ted Reed in Charlotte, N.C. To contact this writer, click here. Follow @tedreednc a a

Click to view a price quote on FDX.

Click to research the Transportation industry.


text Why Du Pont (DD) Stock Is Gaining Today
Wed, 17 Sep 2014 12:14 GMT

NEW YORK (TheStreet) -- Shares of E I Du Pont De Nemoursa are up 3.31% to $68.01 in pre-market trade as activist investor Trian Fund Management LP launched a campaign to force the companyato break itself up after the chemical firm rebuffed its repeated private calls for change, the Wall Street Journal reports. Trian plans to seek support from other investors for its push to dismantle the company, according to a letter it sent DuPont's board Tuesday that was reviewed by the Journal. Trian said it plans to release the letter widely after more than a year of unsuccessful private efforts to persuade. Trian has a $1.6 billion DuPont stake, according to the letter, which would make it a top-10 holder in the Delaware company with nearly 3% of the stock, according to recent disclosures. Trian first invested more than $1 billion in DuPont in early 2013, and it added to its position recently when the stock fell after the company cut its earnings guidance. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings team rates DU PONT (E I) DE NEMOURS as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation: "We rate DU PONT (E I) DE NEMOURS (DD) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its increase in net income, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, good cash flow from operations and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity." Highlights from the analysis by TheStreet Ratings Team goes as follows: The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and the Chemicals industry average. The net income increased by 3.9% when compared to the same quarter one year prior, going from $1,030.00 million to $1,070.00 million. The debt-to-equity ratio is somewhat low, currently at 0.69, and is less than that of the industry average, implying that there has been a relatively successful effort in the management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.20, which illustrates the ability to avoid short-term cash problems. Net operating cash flow has significantly increased by 872.22% to $350.00 million when compared to the same quarter last year. In addition, DU PONT (E I) DE NEMOURS has also vastly surpassed the industry average cash flow growth rate of -14.28%. DU PONT (E I) DE NEMOURS's earnings per share improvement from the most recent quarter was slightly positive. The company has demonstrated a pattern of positive earnings per share growth over the past year. We feel that this trend should continue. During the past fiscal year, DU PONT (E I) DE NEMOURS increased its bottom line by earning $3.04 versus $2.58 in the prior year. This year, the market expects an improvement in earnings ($4.02 versus $3.04). You can view the full analysis from the report here: DD Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on DD.

Click to research the Chemicals industry.


text Why FedEx (FDX) Stock Is Up Today
Wed, 17 Sep 2014 12:05 GMT

NEW YORK (TheStreet) -- Shares of FedEx Corp. are up 2.48% to $158.50 in pre-market trade after theatransportation, e-commerce and business services companyareported a 24% increase in quarterly profit , benefiting from higher volumes in its expressaand ground businesses, Reuters reports. Net income was $606 million, or $2.l0 per share, in the first quarter ended Aug. 31, up from $489 million, or $1.53 per share, a year ago. Revenue jumped 6% to $11.7 billion. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings team rates FEDEX CORP as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation: "We rate FEDEX CORP (FDX) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, revenue growth and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow." Highlights from the analysis by TheStreet Ratings Team goes as follows: Powered by its strong earnings growth of 158.94% and other important driving factors, this stock has surged by 38.34% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, FDX should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year. FEDEX CORP reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, FEDEX CORP increased its bottom line by earning $6.79 versus $4.92 in the prior year. This year, the market expects an improvement in earnings ($8.80 versus $6.79). The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Air Freight & Logistics industry. The net income increased by 140.9% when compared to the same quarter one year prior, rising from $303.00 million to $730.00 million. Despite its growing revenue, the company underperformed as compared with the industry average of 4.7%. Since the same quarter one year prior, revenues slightly increased by 3.5%. Growth in the company's revenue appears to have helped boost the earnings per share. The current debt-to-equity ratio, 0.31, is low and is below the industry average, implying that there has been successful management of debt levels. To add to this, FDX has a quick ratio of 1.58, which demonstrates the ability of the company to cover short-term liquidity needs. You can view the full analysis from the report here: FDX Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on FDX.

Click to research the Transportation industry.


NEW YORK (TheStreet) -- Shares of U.S. Steel Corp.a are up 7.10% to $44.35 in pre-market trade after theaintegrated steel producer said its Canadian unit would apply for bankruptcy protection, as the 113-year-old steelmaker seeks to stop the bleeding after five straight years of losses, the Wall Street Journal reports. The company, which faces challenges including high-cost mills, labor liabilities, and competition from imports, also said it was canceling over $800 million worth of expansion projects in Minnesota and Indiana, the Journal said. U.S. Steel Canada is seeking a court order allowing it to operate while exploring restructuring alternatives. U.S. Steel Corp. has agreed to provide $168.5 million)of financing to support current operations through the end of 2015. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings team rates UNITED STATES STEEL CORP as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation: "We rate UNITED STATES STEEL CORP (X) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its solid stock price performance, good cash flow from operations and growth in earnings per share. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, poor profit margins and generally higher debt management risk." Highlights from the analysis by TheStreet Ratings Team goes as follows: Powered by its strong earnings growth of 77.77% and other important driving factors, this stock has surged by 97.81% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, our hold rating indicates that we do not recommend additional investment in this stock despite its gains in the past year. Net operating cash flow has significantly increased by 418.54% to $783.00 million when compared to the same quarter last year. In addition, UNITED STATES STEEL CORP has also vastly surpassed the industry average cash flow growth rate of -10.41%. UNITED STATES STEEL CORP reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, UNITED STATES STEEL CORP reported poor results of -$11.68 versus -$0.97 in the prior year. This year, the market expects an improvement in earnings ($2.10 versus -$11.68). 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 Metals & Mining industry and the overall market, UNITED STATES STEEL CORP's return on equity significantly trails that of both the industry average and the S&P 500. The gross profit margin for UNITED STATES STEEL CORP is currently extremely low, coming in at 6.89%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -0.40% is significantly below that of the industry average. You can view the full analysis from the report here: X Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on X.

Click to research the Metals & Mining industry.


text Why Sony (SNE) Stock Is Slumping Today
Wed, 17 Sep 2014 11:49 GMT

NEW YORK (TheStreet) -- Shares of Sony Corp. are down 10.12% to $18.20 in pre-market trade after the electronics maker said it expects to reportaa much greater net loss for the current fiscal year, as it cut the value of its mobile communications unit after smartphone sales failed to meet expectations, according to the Wall Street Journal. The company today said it predicts a 230 billion yen ($2.15 billion) net loss for the year ending in March, compared with its previous forecast for a 50 billion yen loss. Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings team rates SONY CORP as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation: "We rate SONY CORP (SNE) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income and growth in earnings per share. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, a generally disappointing performance in the stock itself and poor profit margins." Highlights from the analysis by TheStreet Ratings Team goes as follows: SNE's revenue growth has slightly outpaced the industry average of 6.0%. Since the same quarter one year prior, revenues slightly increased by 3.5%. Growth in the company's revenue appears to have helped boost the earnings per share. The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Household Durables industry. The net income increased by 654.6% when compared to the same quarter one year prior, rising from $35.08 million to $264.69 million. Net operating cash flow has significantly increased by 149.28% to $654.05 million when compared to the same quarter last year. Despite an increase in cash flow of 149.28%, SONY CORP is still growing at a significantly lower rate than the industry average of 245.93%. SNE has underperformed the S&P 500 Index, declining 6.34% from its price level of one year ago. Turning toward the future, the fact that the stock has come down in price over the past year should not necessarily be interpreted as a negative; it could be one of the factors that may help make the stock attractive down the road. Right now, however, we believe that it is too soon to buy. Current return on equity is lower than its ROE from the same quarter one year prior. This is a clear sign of weakness within the company. Compared to other companies in the Household Durables industry and the overall market, SONY CORP's return on equity significantly trails that of both the industry average and the S&P 500. You can view the full analysis from the report here: SNE Ratings Report EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

Click to view a price quote on SNE.

Click to research the Consumer Durables industry.


NEW YORK (MainStreet) -- Millennials will make up more than one of three adult Americans by 2020 and be about 75% of the work force by 2025, the Brookings Institute said, but these soon-to-be working adults aren't like today's adults. For one thing, 63% of millennials don't even own a credit card, according toaBankrate.com. That's surprising, given how pervasive credit cards are today, and has deep ramifications for younger Americans who could really benefit from generating good credit from solid card management skills, says Bankrate.com analyst Jeanine Skowronski. Rejecting credit cards could cause financial troubles for millennials because a strong credit score -- often obtained through the responsible use of credit cards -- is the foundation for a stress-free financial life, she says. "Millennials may think they're staying out of financial trouble by forgoing credit cards, but they're actually doing a disservice to themselves and their credit scores," Skowronski said. "The responsible use of credit cards is one of the easiest ways to build a strong credit score, which is essential for qualifying for insurance policies, auto and mortgage loans and sometimes even a job." Continue Reading on MainStreet


NEW YORK (MainStreet) -- With a slew of economic news on the interest rate front, onamortgages and in the auto market, it's a good time to take stock in where the U.S. consumer is on the "kitchen table" economic front. The holiday shopping season looms, and the end-of-year deadline for 2014 taxes. Then there's the larger picture on how consumers handle debt and spending issues, which can drive two-thirds of the nation's economy as measured by gross domestic product (listed under "personal consumption.") The most recent checklist from Freedom Financial Network, a San Mateo, Calif., consumer debt management business, shows that Americans are spending more and accumulating more credit card debt, but are also mindful of too much consumer debt going into the end of 2014. "In the past quarter, consumers continued to respond to a healthier economy by dusting off credit cards and replacing vehicles," said Kevin Gallegos, a vice president at Freedom Financial Network. "This optimism is heartening, but we caution consumers to remember the lessons of the past economic downturn and prepare for the future. Fortunately, we're seeing a hint of this caution, as people saved a higher portion of their income this summer." Continue Reading on MainStreet


NEW YORK (TheStreet) -- Here are 10 things you should know foraWednesday, Sept. 17: 1. -- U.S. stock futures were trading mixed Wednesday with theaFederal Reserve's rates announcement the main focus for investors. Shares in Europeawere higher. Asian stocks ended mixed but shares in China roseaafter it was reported the central bank injected about $81 billion into the country's banking system. Read More: EMC Is Under Pressure to Sell VMware but Would Shareholders Win? 2. -- The economic calendar in the U.S. onaWednesday includes the Consumer Price Index for August at 8:30 a.m. EDT, theaNAHB Housing Market Index for September at 10 a.m., and the interest rates decision from the Federal Open Market Committee at 2 p.m. 3. -- U.S. stocks onaTuesdayafinished on solid footing, popping on the stimulus reports from China.a The Dow Jones Industrial Average set a new intraday high on Tuesday and finished just shy of its record close of 17,138. The index gained 0.59% to settle at 17,131.97 after touching a new intraday high of 17,167.05. The S&P 500 jumped 0.75% to 1,998.98. The Nasdaq advanced 0.75% to 4,552.76. 4. -- Activist investoraTrian Fund Management LP launched a campaign to forceaDuPont ato break itself up after the chemical giantarebuffed its repeated private calls for change, The Wall Street Journal reported. Trian, which has a $1.6 billion DuPont stake, plans to seek support from other investors for its push to dismantle the company, according to a letter it sent DuPont's board Tuesday that was reviewed by the Journal. Trian said it plans to release the letter widely after more than a year of unsuccessful private efforts to persuade. DuPont said it welcomes shareholder communications and has had "constructive dialogue with Trian." It added that it is committed to its plans to cut costs and to "enhance value for all DuPont shareholders," the Journal reported. 5. -- EndoaInternational made an an unsolicited offer for Auxilium Pharmaceuticals that values Auxiliumaat $28.10 a share, a 31% premium to Auxilium's closing price on Tuesday of $21.52. The deal is worth $1.41 billion in cash and stock, based on Auxilium's shares outstanding. Endoavalues the offer at $2.2 billion, including the assumption of Auxilium's debt. Endo, based in Dublin, said the two companies have complementary products and added that there are significant opportunities for savings. Auxilium is struggling with reduced sales of its testosterone gel Testim and said this month that it would cut about 190 jobs, or 30% of its work force, as part of a plan to save $75 million a year. 6. -- Shipping giantaFedEx is expected by analysts on Wednesday toareport fiscal first-quarter earnings of $1.96 a share on revenue of $11.48 billion. FedEx said on Tuesday it wouldaraise U.S. rates for express, ground and home-delivery shipments in January by an average of 4.9%. Read More: How FedEx Delivers Long-Term Gains Despite a Pricey Stock 7. -- Sony said Wednesday it expects its annual loss to widen to $2 billion and has canceled dividends for the first time in more than half a century after writing down the value of its troubled smartphone business. Citing intense competition, especially from Chinese rivals, Sonyasaid Wednesday it anticipates a net loss of 230 billion yen ($2.15 billion) for the fiscal year that ends March 31, 2015. Its previous forecast was for a loss of 50 billion yen ($466 million). The Japanese electronics company plans to cut staff in its mobile communications business by about 15%, or roughly 1,000 people. 8. --aHomebuilder Lennar aposted fiscal third-quarter profit of 78 cents a share, up from 54 cents a year earlier. Revenue rose 26% to $2.01 billion. Lennar said orders in the quarter rose 23%. Analysts were expecting earnings of 67 cents a share on revenue of $1.96 billion. 9. -- Microsoft raised its quarterly dividendaby 11% to 31 cents a share. The software giant also said it would be replacing two directors when they retire this year. The two departing directors are Dave Marquardt and Dina Dublon. Teri List-Stoll, executive vice president and chief financial officer of Kraft Foods Group, and Charles W. Scharf, CEOaof Visa, have been appointed to the company's board. 10. -- Software maker Adobe Systems posted fiscal third-quarter revenue on Tuesday that was below Wall Street's expectations. Adobe, known for Photoshop, Illustrator and Acrobat software, posted earnings of $44.7 million, or 9 cents a share, down from year-earlier earnings of $83 million, or 16 centsaa share. Adjusted earnings in the quarter were 28 cents a share; analysts were expecting 26 cents. Revenue of $1.01 billion, however, was below forecasts of $1.02 billion. Read More: Alcoa Lands Boeing to Further Its High-Flying Aerospace Ambitions -- Written by Joseph Woelfel To contact the writer of this article, click here:Joseph Woelfel To submit a news tip, send an email to:tips@thestreet.com. Follow @josephwoe58

Click to view a price quote on FDX.

Click to research the Transportation industry.


MIRAMAR, Fla. (TheStreet) -- Last week Southwest and Frontier unveiled new paint schemes, so now it is Spirit's time -- and Spirit went retro. By retro we mean back to the 1970s, when Hughes Air West served the West Coast with a fleet of bright yellow airplanes, including Boeing 727s and Douglas DC-9s. Here is the new look airplane Spirit first flew Tuesday on a flight from Atlantic City, N.J. to Fort Lauderdale. "This new livery perfectly matches Spirit Airlines," said CEO Ben Baldanza, in a prepared statement. "It's radically different from other airlines and it's fun, just like we are." Maybe the CEO should have said "radically different from other existing airlines." Here is the paint scheme Hughes Air West unveiled Sept. 28, 1971. "Spirit is bringing back the old Hughes Air West 'top banana' livery," said aviation consultant Bob Mann. Read More: Take a Look at United Airlines' New Boeing 787 Dreamliner Howard Hughes acquired San Francisco-based Air West in 1970, added his name and painted the airplanes. The airline competed with AirCal and PSA.a "In September 1979 it was grounded for two months by a walkout by ticket agents, reservations handlers and office employees," according to Wikipedia. Subsequently, Alaska and Allegheny Airlines, later US Airways,aexpressed interest in buying it before Republic made a successful $38.5 million bid in 1980. Later Northwest acquired Republic and Delta acquired Northwest. Mann noted that Delta was the ultimate acquirer of both Northeast Airlines and Hughes Air West, the only two airlines to have yellow paint schemes. Like its West Coast competitors, Hughes Air West "acquired and then dissolved," he said. Read More:aFive Most Beloved U.S. Airlines of All Time Spirit said that the simple, two-color design is "much more cost-effective than more complex, multi-colored designs," Spokesman Paul Berry acknowledged that the new Southwest look is multi-colored, but added "our former livery had multiple colors, as well." Additionally, Spirit said that "the bold and bright design acts as a flying billboard and captures a lot of attention with no additional costs" and that "these savings are passed on to customers with even lower fares." Spirit said six more planes will be painted in the next few months, its new Airbus jets will be delivered with the new design starting next year, andathe other planes in the current fleet will be painted eventually. Read More: Five Worst U.S. Airlines of All Time Written by Ted Reed in Charlotte, N.C. To contact this writer, click here. Follow @tedreednc a a a a a

Click to view a price quote on DAL.

Click to research the Transportation industry.


LONDON (The Deal) -- Japan's market fell in part because of a massive $2.1 billion loss at Sony , which has decided not to pay dividends this year for the first time since 1958. But the Chinese and Hong Kong markets got a jolt of energy overnight on news that China's central bank injected 500 billion yuan ($81 billion) of liquidity into the country's top five lenders for three months, in what analysts expect to be the first of several stimulus measures in the coming weeks. Tokyo's Nikkei 225 closed down 0.14% at 15,888.67. But in Hong Kong, the Hang Seng was up 1.0% at 24,376.41 and the Shanghai Composite was up 0.49% at 2,307.89. InaEurope, markets are rising, more on expectation than on fact. Traders are waiting for the U.S. Federal Reserve's latest policy update. Attention is focused on just two words. Will the Fed -- or won't it -- stick the formulation that interest rates will be held low for a "considerable time?" If the phrase stays, the world can breathe easier. If it goes, maybe rates will rise sooner than later. Watch the video below for more on how European markets are doing in midday trading Wednesday: WATCH: More market update videos on TheStreet TV Elsewhere, Britain's unemployment rate fell to 6.2% for the three months to July, its lowest for six years. Economists now expect wage growth to be a determining factor in when the Bank of England raises interest rates. But excluding the distorting effect of bonuses, wages are rising at less than half the rate of inflation. The Bank of England's monetary policy committee was once again split 7 to 2 on whether to raise its policy rate. Meanwhile, August inflation in the eurozone, which doesn't include the U.K., has been revised upwards from 0.3% to an almost as disappointing 0.4% on an annual basis. No one will be in a hurry to raise rates there. In Frankfurt, Bayerische Motoren Werke , the maker of BMW and Rolls Royce cars, got a boost from a $20 million order for 30 Rolls Royce Phantoms from Macau gambling tycoon Stephen Hung, who wants them to ferry guests at his new casino complex there. The stock was up 1.03% at 90.19 euros. The wider car industry also got a boost, from figures showing that good sales in the U.K. and Spain helped European auto sales grow for the 12th month in a row. In London, real estate and home builders led the market upwards. But there were some disappointing stories too. Daily Mail and General Trust, which publishes the popular Daily Mail OnlineaWeb site as well as the Daily Mail newspaper and business publications such as Euromoney, saw underlying revenues rise 5% in the 11 months to August. But its share plummeted 6.57% to 761 pence, after the company took a hit on its insurance risk business. Rupert Murdoch's part-owned satellite broadcaster British Sky Broadcasting Groupa was set back 0.34% to 873 pence after its German sister business Sky Deutschlandaadvised minority shareholders not to accept a takeover offer from the London company. It said BSkyB's 6.75 euros a share offer undervalued the company. Sky Deutschland was up 0.16% at €6.73. The FTSE 100 was up 0.27% at 6,810.74, while in Paris the CAC 40 was up 0.61% at 4,436.04. Frankfurt's DAX index was up 0.48% at 9,679.56.a

Click to view a price quote on SNE.

Click to research the Consumer Durables industry.


Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- Here's what Jim Cramer had to say about some of the stocks callers offered up during the Mad Money Lightning Round Tuesday evening: Delta Air Lines : "I think they're fine. But I like Southwest Airlines and Spirit Airlines . That's where the momentum is. " VeriFone : "That stock is a winner and I really like Verifone." Cienaa : "They have been too inconsistent and I can't take it anymore." Simon Property Group : "I need a 5% yield before I want to pull the trigger on that one." Sprint : "It's a marathon and they need to hang in for the long haul." Emerge Energy Services : "That stock is too hot for this guy." RF Micro Devices : "I like Skyworks Solutions more than RF." Copa Holdings : "No, I'm not getting involved with this one." To read a full recap of "Mad Money" on CNBC, click here. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. -- Written by Scott Rutt in Washington, D.C. To email Scott about this article, click here: Scott Rutt

Click to view a price quote on DAL.

Click to research the Transportation industry.


NEW YORK (MainStreet) -- The largest public pension plan in America is cashing in its $4 billion stake in hedge funds. The California Public Employees' Retirement System (Calpers) said it's not because of performance issues but because the investments are too complex and costly. The liquidation of 24 hedge funds and six fund-of-funds, known internally as the Absolute Return Strategies (ARS) program, will occur over the course of nearly a year. Calpers has not yet determined how the assets will be reinvested. "We are always examining the portfolio to ensure that we are efficiently and cost-effectively achieving our risk-adjusted return goals," Ted Eliopoulos, interim chief investment officer for the nearly $300 billion pension fund, said in a statement. "Hedge funds are certainly a viable strategy for some, but at the end of the day, when judged against their complexity, cost, and the lack of ability to scale at Calpers's size, the ARS program is no longer warranted." The pension fund reported that in February its board adopted a new asset allocation mix seeking to reduce the risk in the portfolio, while still aiming to meet its annual return goal of 7.5%. Calpers said it earned 18.4% during the 2013-14 fiscal year and has averaged a 12.5% return for the past five years. It also earned an 8.4% return for the past 20 years. Continue Reading on MainStreet


NEW YORK (MainStreet) -- Parents laid out some real dough for 2014 back-to-school shopping - $669 per family, according to the National Retail Federation. That's up 5% from last year. But did you know that $27 of that goes straight to banks in the form of bank card "swipe fees" for consumers using debit cards? Swipe fees are "hidden" charges incurred by shoppers who use debit cards at retail stores. Retailers pay banks a fee for debit card payments, often up to 3% of the purchase value. In many cases, stores pass the costs of those fees along to consumers in the form of higher prices, raising the price on items such as clothes, books and phones and tablets. According to the Washington, D.C.-based Merchants Payments Coalition, bank profit margins on swipe fees can be as high as 10,000%. . . .a Continue Readingaon MainStreet