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The Leisure industry as a whole closed the day down 0.3% versus the S&P 500, which was up 0.5%. Laggards within the Leisure industry included

Canterbury Park

(

CPHC

), down 1.9%,

Dover Downs Gaming & Entertainment

(

DDE

), down 4.5%,

Diversified Restaurant Holdings

(

BAGR

), down 2.8%,

Chanticleer Holdings

(

HOTR

), down 3.8% and

Cosi

(

COSI

), down 1.7%.

TheStreet Ratings Group would like to highlight 3 stocks that pushed the industry lower today:

Cosi

(

COSI

) is one of the companies that pushed the Leisure industry lower today. Cosi was down $0.04 (1.7%) to $2.32 on light volume. Throughout the day, 91,537 shares of Cosi exchanged hands as compared to its average daily volume of 186,100 shares. The stock ranged in price between $2.27-$2.33 after having opened the day at $2.31 as compared to the previous trading day's close of $2.36.

Cosi, Inc. owns, operates, and franchises fast-casual restaurants. The company offers food and beverage products for four dayparts comprising breakfast, lunch, snacking, and dinner. It also provides catering services for breakfast, lunch, and afternoon snacking. Cosi has a market cap of $58.5 million and is part of the services sector. Shares are up 48.4% year-to-date as of the close of trading on Tuesday.

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TheStreet Ratings rates

Cosi

as a

sell

. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, poor profit margins and weak operating cash flow.

Highlights from TheStreet Ratings analysis on COSI go as follows:

  • COSI INC's earnings per share declined by 42.9% in the most recent quarter compared to the same quarter a year ago. Earnings per share have declined over the last two years. We anticipate that this should continue in the coming year. During the past fiscal year, COSI INC reported poor results of -$0.65 versus -$0.28 in the prior year. For the next year, the market is expecting a contraction of 9.2% in earnings (-$0.71 versus -$0.65).
  • 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 Hotels, Restaurants & Leisure industry. The net income has significantly decreased by 69.0% when compared to the same quarter one year ago, falling from -$2.46 million to -$4.15 million.
  • The gross profit margin for COSI INC is currently extremely low, coming in at 0.99%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -21.59% is significantly below that of the industry average.
  • Net operating cash flow has decreased to -$4.04 million or 37.58% when compared to the same quarter last year. In addition, when comparing the cash generation rate to the industry average, the firm's growth is significantly lower.
  • COSI, with its decline in revenue, slightly underperformed the industry average of 9.6%. Since the same quarter one year prior, revenues fell by 10.3%. The declining revenue appears to have seeped down to the company's bottom line, decreasing earnings per share.

You can view the full analysis from the report here:

Cosi Ratings Report

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At the close,

Diversified Restaurant Holdings

(

BAGR

) was down $0.14 (2.8%) to $4.85 on heavy volume. Throughout the day, 26,735 shares of Diversified Restaurant Holdings exchanged hands as compared to its average daily volume of 13,400 shares. The stock ranged in price between $4.70-$4.99 after having opened the day at $4.92 as compared to the previous trading day's close of $4.99.

Diversified Restaurant Holdings has a market cap of $130.7 million and is part of the services sector. Shares are down 3.3% year-to-date as of the close of trading on Tuesday. Currently there are 2 analysts who rate Diversified Restaurant Holdings a buy, no analysts rate it a sell, and none rate it a hold.

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Dover Downs Gaming & Entertainment

(

DDE

) was another company that pushed the Leisure industry lower today. Dover Downs Gaming & Entertainment was down $0.04 (4.5%) to $0.85 on average volume. Throughout the day, 68,832 shares of Dover Downs Gaming & Entertainment exchanged hands as compared to its average daily volume of 61,100 shares. The stock ranged in price between $0.85-$0.95 after having opened the day at $0.90 as compared to the previous trading day's close of $0.89.

Dover Downs Gaming & Entertainment, Inc., together with its subsidiaries, operates as a gaming and entertainment resort destination in the United States. Dover Downs Gaming & Entertainment has a market cap of $16.1 million and is part of the services sector. Shares are up 7.2% year-to-date as of the close of trading on Tuesday.

TheStreet Ratings rates

Dover Downs Gaming & Entertainment

as a

sell

. The company's weaknesses can be seen in multiple areas, such as its disappointing return on equity and poor profit margins.

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

Highlights from TheStreet Ratings analysis on DDE go as follows:

  • 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 Hotels, Restaurants & Leisure industry and the overall market, DOVER DOWNS GAMING & ENTMT's return on equity significantly trails that of both the industry average and the S&P 500.
  • The gross profit margin for DOVER DOWNS GAMING & ENTMT is currently extremely low, coming in at 10.61%. Regardless of DDE's low profit margin, it has managed to increase from the same period last year. Despite the mixed results of the gross profit margin, DDE's net profit margin of 1.45% is significantly lower than the industry average.
  • DOVER DOWNS GAMING & ENTMT reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has not demonstrated a clear trend in earnings over the past 2 years, making it difficult to accurately predict earnings for the coming year. During the past fiscal year, DOVER DOWNS GAMING & ENTMT reported lower earnings of $0.01 versus $0.15 in the prior year.
  • Regardless of the drop in revenue, the company managed to outperform against the industry average of 9.6%. Since the same quarter one year prior, revenues slightly dropped by 4.2%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
  • The current debt-to-equity ratio, 0.35, is low and is below the industry average, implying that there has been successful management of debt levels. Even though the company has a strong debt-to-equity ratio, the quick ratio of 0.36 is very weak and demonstrates a lack of ability to pay short-term obligations.

You can view the full analysis from the report here:

Dover Downs Gaming & 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.