3 Services Stocks Moving The Sector Upward - TheStreet

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

All three major indices traded up today with the

Dow Jones Industrial Average

(

^DJI

) trading up 188 points (1.1%) at 17,006 as of Tuesday, Oct. 28, 2014, 4:20 PM ET. The NYSE advances/declines ratio sits at 2,601 issues advancing vs. 503 declining with 115 unchanged.

The Services sector as a whole closed the day up 2.2% versus the S&P 500, which was up 1.2%. Top gainers within the Services sector included

Radio One

(

ROIA

), up 6.6%,

Haverty Furniture Companies

(

HVT.A

), up 3.4%,

China Metro-Rural Holdings

(

CNR

), up 2.8%,

Tiger Media

(

IDI

), up 3.3% and

John Wiley & Sons

(

JW.B

), up 1.9%.

TheStreet Ratings Group would like to highlight 3 stocks pushing the sector higher today:

Tiger Media

(

IDI

) is one of the companies that pushed the Services sector higher today. Tiger Media was up $0.02 (3.3%) to $0.62 on average volume. Throughout the day, 33,545 shares of Tiger Media exchanged hands as compared to its average daily volume of 30,200 shares. The stock ranged in a price between $0.61-$0.63 after having opened the day at $0.61 as compared to the previous trading day's close of $0.60.

Tiger Media, Inc., a multi-platform media company, provides advertising services in the out-of-home advertising industry in the People's Republic of China. Tiger Media has a market cap of $19.1 million and is part of the consumer durables industry. Shares are down 64.5% year-to-date as of the close of trading on Monday. Currently there are no analysts who rate Tiger Media a buy, no analysts rate it a sell, and none rate it a hold.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreet Ratings rates Tiger Media as a

sell

. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share and generally disappointing historical performance in the stock itself.

Highlights from TheStreet Ratings analysis on IDI go as follows:

  • TIGER MEDIA INC reported flat earnings per share in the most recent quarter. The company has suffered a declining pattern earnings per share over the past two years. During the past fiscal year, TIGER MEDIA INC reported poor results of -$0.12 versus -$0.03 in the prior year.
  • IDI's stock share price has done very poorly compared to where it was a year ago: Despite any rallies, the net result is that it is down by 64.94%, which is also worse than the performance of the S&P 500 Index. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.
  • The company, on the basis of net income growth from the same quarter one year ago, has underperformed when compared to that of the S&P 500 and greatly underperformed compared to the Media industry average. The net income increased by 1.9% when compared to the same quarter one year prior, going from -$0.88 million to -$0.86 million.
  • Compared to other companies in the Media industry and the overall market, TIGER MEDIA INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • IDI has no debt to speak of therefore resulting in a debt-to-equity ratio of zero, which we consider to be a relatively favorable sign. Along with this, the company maintains a quick ratio of 2.75, which clearly demonstrates the ability to cover short-term cash needs.

You can view the full analysis from the report here:

Tiger Media Ratings Report

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

At the close,

China Metro-Rural Holdings

(

CNR

) was up $0.03 (2.8%) to $0.94 on light volume. Throughout the day, 400 shares of China Metro-Rural Holdings exchanged hands as compared to its average daily volume of 9,900 shares. The stock ranged in a price between $0.93-$0.94 after having opened the day at $0.94 as compared to the previous trading day's close of $0.91.

China Metro-Rural Holdings has a market cap of $69.1 million and is part of the consumer durables industry. Shares are up 4.4% year-to-date as of the close of trading on Monday.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Radio One

(

ROIA

) was another company that pushed the Services sector higher today. Radio One was up $0.15 (6.6%) to $2.38 on light volume. Throughout the day, 616 shares of Radio One exchanged hands as compared to its average daily volume of 2,900 shares. The stock ranged in a price between $2.32-$2.38 after having opened the day at $2.32 as compared to the previous trading day's close of $2.23.

Radio One, Inc., together with its subsidiaries, operates as an urban-oriented multi-media company in the United States. The company operates through four segments: Radio Broadcasting, Reach Media, Internet, and Cable Television. Radio One has a market cap of $6.0 million and is part of the consumer durables industry. Shares are down 31.3% year-to-date as of the close of trading on Monday. Currently there are no analysts who rate Radio One a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Radio One as a

sell

. The company's weaknesses can be seen in multiple areas, such as its disappointing return on equity, generally disappointing historical performance in the stock itself and generally high debt management risk.

Highlights from TheStreet Ratings analysis on ROIA go as follows:

  • Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Media industry and the overall market, RADIO ONE INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • The debt-to-equity ratio is very high at 19.00 and currently higher than the industry average, implying increased risk associated with the management of debt levels within the company. Despite the company's weak debt-to-equity ratio, the company has managed to keep a very strong quick ratio of 2.63, which shows the ability to cover short-term cash needs.
  • ROIA has underperformed the S&P 500 Index, declining 8.75% from its price level of one year ago. The fact that the stock is now selling for less than others in its industry in relation to its current earnings is not reason enough to justify a buy rating at this time.
  • The company, on the basis of net income growth from the same quarter one year ago, has significantly underperformed compared to the Media industry average, but is greater than that of the S&P 500. The net income increased by 23.9% when compared to the same quarter one year prior, going from -$14.21 million to -$10.82 million.
  • ROIA, with its decline in revenue, underperformed when compared the industry average of 7.6%. Since the same quarter one year prior, revenues slightly dropped by 9.3%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.

You can view the full analysis from the report here:

Radio One Ratings Report

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.