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NEW YORK (TheStreet) -- Granite Construction Inc (GVA) - Get Report has been upgraded by TheStreet Ratings from Hold to Buy with a ratings score of B.  TheStreet Ratings Team has this to say about their recommendation:

TheStreet Ratings team rates GRANITE CONSTRUCTION INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:

"We rate GRANITE CONSTRUCTION INC (GVA) a BUY. This is driven by multiple 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 impressive record of earnings per share growth, compelling growth in net income, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

• GRANITE CONSTRUCTION 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. We feel that this trend should continue. During the past fiscal year, GRANITE CONSTRUCTION INC turned its bottom line around by earning $0.62 versus -$0.94 in the prior year. This year, the market expects an improvement in earnings ($2.24 versus $0.62).
• The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Construction & Engineering industry. The net income increased by 158.7% when compared to the same quarter one year prior, rising from -$28.90 million to $16.98 million.
• Net operating cash flow has increased to $89.98 million or 28.72% when compared to the same quarter last year. Despite an increase in cash flow, GRANITE CONSTRUCTION INC's cash flow growth rate is still lower than the industry average growth rate of 52.53%.
• Regardless of the drop in revenue, the company managed to outperform against the industry average of 4.0%. Since the same quarter one year prior, revenues slightly dropped by 1.4%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
• Despite currently having a low debt-to-equity ratio of 0.35, it is higher than that of the industry average, inferring that management of debt levels may need to be evaluated further. Regardless of the somewhat mixed results with the debt-to-equity ratio, the company's quick ratio of 1.28 is sturdy.
• You can view the full analysis from the report here: GVA Ratings Report