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 are trading down today with the

Dow Jones Industrial Average

(

^DJI

) trading down 170.50 points (-1.0%) at 17,737 as of Friday, Jan. 9, 2015, 4:20 PM ET. The NYSE advances/declines ratio sits at 1,146 issues advancing vs. 1,926 declining with 129 unchanged.

The Diversified Services industry as a whole closed the day down 0.9% versus the S&P 500, which was down 0.8%. Top gainers within the Diversified Services industry included

Wilhelmina International

(

WHLM

), up 1.8%,

VirtualScopics

(

VSCP

), up 2.1%,

RLJ Entertainment

(

RLJE

), up 3.5%,

Learning Tree International

(

LTRE

), up 2.8% and

Luna Innovations

(

LUNA

), up 11.0%.

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

RLJ Entertainment

(

RLJE

TheStreet Recommends

) is one of the companies that pushed the Diversified Services industry higher today. RLJ Entertainment was up $0.06 (3.5%) to $1.79 on light volume. Throughout the day, 5,858 shares of RLJ Entertainment exchanged hands as compared to its average daily volume of 8,300 shares. The stock ranged in a price between $1.78-$1.81 after having opened the day at $1.78 as compared to the previous trading day's close of $1.73.

RLJ Entertainment, Inc., an entertainment company, acquires content rights in British episodic mystery and drama, urban programming, and full-length motion pictures. It operates through three segments: Intellectual Property Licensing, Wholesale, and Direct-to-Consumer. RLJ Entertainment has a market cap of $23.1 million and is part of the basic materials sector. Shares are down 13.1% year-to-date as of the close of trading on Thursday. Currently there are no analysts who rate RLJ Entertainment 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 RLJ Entertainment as a

sell

. The company's weaknesses can be seen in multiple areas, such as its generally high debt management risk, disappointing return on equity, poor profit margins, feeble growth in its earnings per share and generally disappointing historical performance in the stock itself.

Highlights from TheStreet Ratings analysis on RLJE go as follows:

  • Although RLJE's debt-to-equity ratio of 2.15 is very high, it is currently less than that of the industry average.
  • The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. Compared to other companies in the Media industry and the overall market, RLJ ENTERTAINMENT INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • The gross profit margin for RLJ ENTERTAINMENT INC is rather low; currently it is at 24.17%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -21.00% is significantly below that of the industry average.
  • RLJ ENTERTAINMENT INC reported flat earnings per share in the most recent quarter. The company has reported a trend of declining earnings per share over the past two years. During the past fiscal year, RLJ ENTERTAINMENT INC reported poor results of -$2.30 versus -$0.49 in the prior year.
  • RLJE'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 53.73%, 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.

You can view the full analysis from the report here:

RLJ Entertainment 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,

VirtualScopics

(

VSCP

) was up $0.07 (2.1%) to $3.37 on light volume. Throughout the day, 100 shares of VirtualScopics exchanged hands as compared to its average daily volume of 3,700 shares. The stock ranged in a price between $3.37-$3.37 after having opened the day at $3.37 as compared to the previous trading day's close of $3.30.

VirtualScopics, Inc. provides imaging solutions for the pharmaceutical, biotechnology, and medical device industries. VirtualScopics has a market cap of $9.8 million and is part of the basic materials sector. Shares are up 4.1% year-to-date as of the close of trading on Thursday. Currently there is 1 analyst who rates VirtualScopics 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 VirtualScopics as a

sell

. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, poor profit margins and weak operating cash flow.

Highlights from TheStreet Ratings analysis on VSCP 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 Life Sciences Tools & Services industry. The net income has significantly decreased by 27.3% when compared to the same quarter one year ago, falling from -$0.75 million to -$0.96 million.
  • 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 Life Sciences Tools & Services industry and the overall market, VIRTUALSCOPICS INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • The gross profit margin for VIRTUALSCOPICS INC is currently lower than what is desirable, coming in at 33.86%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -34.87% is significantly below that of the industry average.
  • Net operating cash flow has significantly decreased to -$0.42 million or 200.00% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
  • In its most recent trading session, VSCP has closed at a price level that was not very different from its closing price of one year earlier. This is probably due to its weak earnings growth as well as other mixed factors. Turning our attention to the future direction of the stock, we do not believe this stock offers ample reward opportunity to compensate for the risks, despite the fact that it rose over the past year.

You can view the full analysis from the report here:

VirtualScopics 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.

Wilhelmina International

(

WHLM

) was another company that pushed the Diversified Services industry higher today. Wilhelmina International was up $0.10 (1.8%) to $5.60 on average volume. Throughout the day, 1,279 shares of Wilhelmina International exchanged hands as compared to its average daily volume of 1,000 shares. The stock ranged in a price between $5.50-$5.60 after having opened the day at $5.50 as compared to the previous trading day's close of $5.50.

Wilhelmina International has a market cap of $32.9 million and is part of the basic materials sector. Shares are down 8.3% 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.