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 251.90 points (-1.4%) at 17,165 as of Friday, Jan. 30, 2015, 4:20 PM ET. The NYSE advances/declines ratio sits at 1,001 issues advancing vs. 2,121 declining with 101 unchanged.

The Computer Hardware industry as a whole closed the day down 1.0% versus the S&P 500, which was down 1.3%. Top gainers within the Computer Hardware industry included

Video Display

(

VIDE

), up 10.6%,

Interphase

(

INPH

), up 6.5%,

Dataram

(

DRAM

), up 4.3%,

Acorn Energy

(

ACFN

), up 5.0% and

Silicom

(

SILC

), up 6.0%.

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

Silicom

(

SILC

) is one of the companies that pushed the Computer Hardware industry higher today. Silicom was up $2.70 (6.0%) to $47.58 on heavy volume. Throughout the day, 161,689 shares of Silicom exchanged hands as compared to its average daily volume of 24,000 shares. The stock ranged in a price between $45.01-$48.43 after having opened the day at $45.18 as compared to the previous trading day's close of $44.88.

Silicom Ltd. designs, manufactures, markets, and supports networking and data infrastructure solutions for a range of servers, server based systems, and communications devices in North America, Europe, and internationally. Silicom has a market cap of $265.3 million and is part of the technology sector. Shares are up 27.5% year-to-date as of the close of trading on Thursday. Currently there is 1 analyst who rates Silicom a buy, no analysts rate it a sell, and 2 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

Silicom

TheStreet Recommends

as a

buy

. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, notable return on equity and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

Highlights from TheStreet Ratings analysis on SILC go as follows:

  • SILC 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 6.30, which clearly demonstrates the ability to cover short-term cash needs.
  • The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Communications Equipment industry and the overall market, SILICOM LTD's return on equity exceeds that of both the industry average and the S&P 500.
  • 40.55% is the gross profit margin for SILICOM LTD which we consider to be strong. Regardless of SILC's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 15.80% trails the industry average.
  • SILC, with its decline in revenue, slightly underperformed the industry average of 5.9%. Since the same quarter one year prior, revenues slightly dropped by 7.8%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
  • SILICOM LTD's earnings per share declined by 38.2% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. We feel it is likely to report a decline in earnings in the coming year. During the past fiscal year, SILICOM LTD increased its bottom line by earning $2.34 versus $1.41 in the prior year. For the next year, the market is expecting a contraction of 14.5% in earnings ($2.00 versus $2.34).

You can view the full analysis from the report here:

Silicom 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,

Acorn Energy

(

ACFN

) was up $0.02 (5.0%) to $0.52 on light volume. Throughout the day, 74,492 shares of Acorn Energy exchanged hands as compared to its average daily volume of 264,700 shares. The stock ranged in a price between $0.50-$0.52 after having opened the day at $0.51 as compared to the previous trading day's close of $0.50.

Acorn Energy, Inc., through its subsidiaries, provides technology driven solutions for energy infrastructure asset management worldwide. It offers oil and gas sensor systems, a fiber optic sensing system for the energy, commercial security, and defense markets. Acorn Energy has a market cap of $13.1 million and is part of the technology sector. Shares are down 35.8% year-to-date as of the close of trading on Thursday. Currently there are no analysts who rate Acorn Energy a buy, no analysts rate it a sell, and 1 rates 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 Acorn Energy as a

sell

. The company's weaknesses can be seen in multiple areas, such as its poor profit margins and generally disappointing historical performance in the stock itself.

Highlights from TheStreet Ratings analysis on ACFN go as follows:

  • The gross profit margin for ACORN ENERGY INC is currently lower than what is desirable, coming in at 32.75%. Regardless of ACFN's low profit margin, it has managed to increase from the same period last year. Despite the mixed results of the gross profit margin, ACFN's net profit margin of -68.25% significantly underperformed when compared to the industry average.
  • ACFN'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 87.66%, 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 Electronic Equipment, Instruments & Components industry and the overall market, ACORN ENERGY INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • ACFN's debt-to-equity ratio is very low at 0.26 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Although the company had a strong debt-to-equity ratio, its quick ratio of 1.00 is somewhat weak and could be cause for future problems.
  • Net operating cash flow has slightly increased to -$5.30 million or 3.62% when compared to the same quarter last year. Despite an increase in cash flow, ACORN ENERGY INC's cash flow growth rate is still lower than the industry average growth rate of 31.41%.

You can view the full analysis from the report here:

Acorn Energy 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.

Interphase

(

INPH

) was another company that pushed the Computer Hardware industry higher today. Interphase was up $0.13 (6.5%) to $2.13 on light volume. Throughout the day, 3,450 shares of Interphase exchanged hands as compared to its average daily volume of 11,600 shares. The stock ranged in a price between $1.99-$2.13 after having opened the day at $2.03 as compared to the previous trading day's close of $2.00.

Interphase Corporation, an information and communications technology company, provides connectivity, interworking, and packet processing solutions in the Pacific Rim, North America, and Europe. Interphase has a market cap of $16.8 million and is part of the technology sector. Shares are down 11.4% year-to-date as of the close of trading on Thursday. Currently there are no analysts who rate Interphase a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Interphase as a

sell

. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, poor profit margins and generally disappointing historical performance in the stock itself.

Highlights from TheStreet Ratings analysis on INPH 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 Communications Equipment industry. The net income has significantly decreased by 1222.4% when compared to the same quarter one year ago, falling from $0.08 million to -$0.85 million.
  • The gross profit margin for INTERPHASE CORP is currently lower than what is desirable, coming in at 33.55%. It has decreased significantly from the same period last year. Along with this, the net profit margin of -20.25% is significantly below that of the industry average.
  • Despite any intermediate fluctuations, we have only bad news to report on this stock's performance over the last year: it has tumbled by 46.18%, worse than the S&P 500's performance. Consistent with the plunge in the stock price, the company's earnings per share are down 1200.00% compared to the year-earlier 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 return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Communications Equipment industry and the overall market, INTERPHASE CORP's return on equity significantly trails that of both the industry average and the S&P 500.
  • INTERPHASE CORP has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from 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, INTERPHASE CORP continued to lose money by earning -$0.39 versus -$0.54 in the prior year.

You can view the full analysis from the report here:

Interphase 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.