TheStreet.com Ratings provides exclusive stock, ETF and mutual fund ratings and commentary based on award-winning, proprietary tools. Its "safety first" approach to investing aims to reduce risk while seeking total return performance.
The numbers: Fiscal first-quarter profit decreased 42% to $27 million, or 11 cents a share, as revenue declined 2% to $383 million. Its gross margin rose from 23% to 24% and its operating margin remained steady at 19%. A quick ratio of 0.7 indicates less-than-ideal liquidity. A debt-to-equity ratio of 0.5 reflects conservative leverage.
The stock: CAE is up 18% this year, beating the Dow Jones Industrial Average and S&P 500 Index. The stock trades at a price-to-earnings ratio 13, indicating a discount to the market, but parity with aerospace and defense peers.The model upgraded oil and gas equipment maker Dresser-Rand (DRC) to "buy." The numbers: Second-quarter net income rose 29% to $60 million and earnings per share climbed 35% to 74 cents, boosted by a lower share count. Revenue grew 12% to $606 million. Its gross margin was unchanged at 30%, but its operating margin rose from 14% to 16%. A quick ratio of 0.7 demonstrates less-than-ideal liquidity. A debt-to-equity ratio of 0.4 reflects conservative leverage. The stock: Dresser-Rand has advanced 81% this year, more than major U.S. indices. The stock trades at a price-to-earnings ratio of 12, a discount to the market and oil and gas equipment peers. The company doesn't pay dividends. The model upgraded medical-device maker Masimo (MASI) to "buy." The numbers: Second-quarter net income jumped 24% to $13 million and earnings per share rose 22% to 22 cents, restrained by a higher share count. Revenue grew 12% to $84 million. Its gross margin rose from 73% to 74% and its operating margin increased from 22% to 24%. A quick ratio of 3.9 indicates outstanding liquidity. The company holds minimal debt.
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 Plus 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