This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Stock Upgrades, Downgrades From Ratings

Each weekday, Ratings updates its ratings on the stocks it covers. The proprietary ratings model projects a stock's total return potential over a 12-month period, including both price appreciation and dividends. Buy, hold or sell ratings designate how the Ratings group expects these stocks to perform against a general benchmark of the equities market and interest rates.

While the ratings model is quantitative, it uses both subjective and objective elements. For instance, subjective elements include expected equities market returns, future interest rates, implied industry outlook and company earnings forecasts. Objective elements include volatility of past operating revenue, financial strength and company cash flows.

AnnTaylor Stores (ANN) is a specialty retailer of women's apparel, shoes and accessories. It has been upgraded to a buy from a hold. The company has no debt to speak of, and has a largely solid financial position. It has reported somewhat volatile earnings recently, but Ratings believes it is poised for EPS growth in the coming quarters. AnnTaylor's gross profit margin of 55.30% is rather high, although its net profit margin of 5.20% trails the industry average. The company had been rated a hold since August 2007.

Arkansas Best (ABFS) provides motor carrier transportation services in the U.S. It has been downgraded to a hold from a buy. The company's debt-to-equity level of 0.03 is below that of the industry average, implying that there has been very successful management of debt levels. It also has an adequate quick ratio of 1.20, which illustrates the ability to avoid short-term cash problems.

However, Arkansas Best's revenue declined by 4.4% in the second quarter compared with the same period last year, which has contributed to an earnings decline of 30.98% in the same timeframe, to 78 cents a share from $1.13 per share in the second quarter last year. Its net operating cash flow also decreased 20.19% to $41.30 million during that period. Arkansas Best had been rated a buy since July 2007.

China Petroleum & Chemical (SNP) operates as an integrated oil and gas, and chemical company in the People's Republic of China and Hong Kong. It has been downgraded to a hold from a buy. The company's revenues increased by 9.8% in the second quarter compared with the same period last year, outpacing the industry average of 3.0%. China Petroleum's return on equity of 23.72% in the second quarter marked an improvement from the same period last year, a clear sign of strength within the corporation.

However, as a counter to these strengths, Ratings finds that the company has not been very careful in the management of its balance sheet. China Petroleum had been rated a buy since October 2005.

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

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.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,356.87 +288.00 1.69%
S&P 500 2,012.89 +40.15 2.04%
NASDAQ 4,644.3120 +96.4780 2.12%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs