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 47 points (0.3%) at 18,019 as of Friday, Feb. 13, 2015, 4:20 PM ET. The NYSE advances/declines ratio sits at 1,931 issues advancing vs. 1,153 declining with 128 unchanged.

The Computer Software & Services industry as a whole closed the day up 1.3% versus the S&P 500, which was up 0.4%. Top gainers within the Computer Software & Services industry included

CounterPath

(

CPAH

), up 4.9%,

TigerLogic

(

TIGR

), up 2.6%,

MGT Capital Investments

(

MGT

), up 7.8%,

The9

(

NCTY

), up 2.1% and

Authentidate

(

ADAT

), up 5.0%.

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

Authentidate

(

ADAT

) is one of the companies that pushed the Computer Software & Services industry higher today. Authentidate was up $0.04 (5.0%) to $0.74 on light volume. Throughout the day, 34,652 shares of Authentidate exchanged hands as compared to its average daily volume of 58,700 shares. The stock ranged in a price between $0.72-$0.75 after having opened the day at $0.74 as compared to the previous trading day's close of $0.70.

Authentidate Holding Corp. provides Web-based software applications, and telehealth products and services in the United States. Authentidate has a market cap of $30.9 million and is part of the technology sector. Shares are down 25.0% year-to-date as of the close of trading on Thursday. Currently there are no analysts who rate Authentidate 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 Authentidate as a

sell

. The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income, weak operating cash flow and generally disappointing historical performance in the stock itself.

Highlights from TheStreet Ratings analysis on ADAT go as follows:

  • The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Health Care Technology industry. The net income has decreased by 12.6% when compared to the same quarter one year ago, dropping from -$1.87 million to -$2.11 million.
  • Net operating cash flow has decreased to -$1.74 million or 49.09% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
  • ADAT'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 37.50%, which is also worse that the performance of the S&P 500 Index. Investors have so far failed to pay much attention to the earnings improvements the company has managed to achieve over the last quarter. 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's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Health Care Technology industry and the overall market, AUTHENTIDATE HOLDING CORP's return on equity significantly trails that of both the industry average and the S&P 500.
  • The revenue fell significantly faster than the industry average of 24.2%. Since the same quarter one year prior, revenues fell by 41.7%. 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:

Authentidate 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,

The9

(

NCTY

) was up $0.03 (2.1%) to $1.46 on average volume. Throughout the day, 31,991 shares of The9 exchanged hands as compared to its average daily volume of 27,100 shares. The stock ranged in a price between $1.43-$1.53 after having opened the day at $1.43 as compared to the previous trading day's close of $1.43.

The9 has a market cap of $33.8 million and is part of the technology sector. Shares are down 7.7% year-to-date as of the close of trading on Thursday.

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

CounterPath

(

CPAH

) was another company that pushed the Computer Software & Services industry higher today. CounterPath was up $0.03 (4.9%) to $0.61 on heavy volume. Throughout the day, 57,799 shares of CounterPath exchanged hands as compared to its average daily volume of 24,000 shares. The stock ranged in a price between $0.53-$0.70 after having opened the day at $0.70 as compared to the previous trading day's close of $0.58.

CounterPath has a market cap of $29.8 million and is part of the technology sector. Shares are up 37.2% year-to-date as of the close of trading on Thursday.

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.