TSC Ratings' Updates: City National

The following ratings' changes were generated on Monday, Oct. 6.

City National(CNY Quote) has been upgraded from hold to buy. City National Corporation operates as the bank holding company for City National Bank, which provides banking, investment and trust services. The company's strengths can be seen in multiple areas, such as its good cash flow from operations and expanding profit margins. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Net operating cash flow has significantly increased by 107.45% to $3.17 million when compared with the same quarter last year. Despite an increase in cash flow of 107.45%, CNY is still growing at a significantly lower rate than the industry average of 336.61%.

The gross profit margin for CNY is currently very high, coming in at 71.50%. Regardless of CYN's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, CYN's net profit margin of 12.90% compares favorably with the industry average. ...