Stock Upgrades, Downgrades
USA Mobility (USMO) provides wireless communications solutions to the health care, government, enterprise and emergency response sectors. It has been downgraded to a hold from a buy.
Its EPS improved by 17.5% in the second quarter of 2007 over the year-earlier period, continuing a two-year pattern of growth. The company has no debt to speak of and maintains a quick ratio of 1.17, which illustrates the ability to avoid short-term cash problems. However, the company's stock price has declined by 16.69% in the last 12 months, and the fact that the stock is now selling for less than others in its industry in relation to its current earnings is reason enough to justify a buy rating at this time. USA Mobility had been rated a buy since June 2007.
Sporting goods retailer Big 5 Sporting Goods (BGFV) has been downgraded to a hold from a buy. The company's strengths include its expanding profit margins. Its net income decreased by 20.0% in the second quarter of 2007 compared with the same period last year, and its stock price has essentially been flat over the past 12 months.
Big 5 has reported volatile earnings recently, and TheStreet.com Ratings believe it is likely to report an EPS decline in the coming year. The stock had been rated a buy since November 2006.Builders FirstSource (BLDR) manufactures and supplies structural and related building products for residential new construction. It has been downgraded to a sell from a hold. Its net income decreased by 70.4% in the second quarter of 2007 compared with the same period last year, falling to $8.40 million from $28.38 million. The company's return on equity declined to 11.01% in the second quarter of 2007, down from 41.28% in the prior year. This is a sign of major weakness within the corporation. Its debt-to-equity ratio of 1.18 is relatively high when compared with the industry average, suggesting a need for better debt management, and its stock price is down 13.73% over the past 12 months. Builders FirstSource had been rated a hold since March 2007. Additional ratings changes are listed below.
|Stock Upgrades, Downgrades|
|Company Name||Ticker||Change||New Rating||Former Rating|
|Vina Concha y Toro||VCO||Downgrade||Hold||Buy|
|Big 5 Sporting Goods||BGFV||Downgrade||Hold||Buy|
|E Trade Financial||ETFCP||Downgrade||Sell||Hold|
|Source: TheStreet.com Ratings|
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV