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.

Two out of the three major indices traded up today One out of the three major indices traded up today The three major indices are trading lower today with the

Dow Jones Industrial Average

(

^DJI

) trading down 5.88 points (0.0%) at 16,315 as of Tuesday, Oct. 14, 2014, 4:20 PM ET. The NYSE advances/declines ratio sits at 1,884 issues advancing vs. 1,209 declining with 128 unchanged.

The Specialty Retail industry as a whole closed the day up 0.4% versus the S&P 500, which was up 0.2%. Top gainers within the Specialty Retail industry included

Dover Saddlery

(

DOVR

), up 2.0%,

Perfumania Holdings

(

PERF

), up 1.6%,

XO Group

(

XOXO

), up 2.4%,

HHGregg

(

HGG

), up 5.7% and

Build-A-Bear Workshop

(

BBW

), up 3.9%.

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

HHGregg

(

HGG

) is one of the companies that pushed the Specialty Retail industry higher today. HHGregg was up $0.34 (5.7%) to $6.27 on average volume. Throughout the day, 210,498 shares of HHGregg exchanged hands as compared to its average daily volume of 197,200 shares. The stock ranged in a price between $5.96-$6.33 after having opened the day at $5.96 as compared to the previous trading day's close of $5.93.

hhgregg, Inc., together with its subsidiaries, operates as a specialty retailer of home appliances, televisions, computers, tablets, consumer electronics, home furniture, mattresses, fitness equipment, and related services under the hhgregg name. HHGregg has a market cap of $167.2 million and is part of the services sector. Shares are down 57.8% year-to-date as of the close of trading on Monday. Currently there are no analysts who rate HHGregg a buy, 1 analyst rates it a sell, and 11 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 HHGregg 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, disappointing return on equity, weak operating cash flow and poor profit margins.

Highlights from TheStreet Ratings analysis on HGG go as follows:

  • HHGREGG INC 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. 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, HHGREGG INC reported lower earnings of $0.00 versus $0.77 in the prior year. This year, the market expects a decline in earnings from $0.00 to -$0.28.
  • 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 Specialty Retail industry. The net income has significantly decreased by 715.0% when compared to the same quarter one year ago, falling from -$1.26 million to -$10.27 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 Specialty Retail industry and the overall market, HHGREGG INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • Net operating cash flow has significantly decreased to -$40.73 million or 137.07% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
  • The gross profit margin for HHGREGG INC is currently lower than what is desirable, coming in at 29.71%. Regardless of HGG's low profit margin, it has managed to increase from the same period last year. Despite the mixed results of the gross profit margin, HGG's net profit margin of -2.17% significantly underperformed when compared to the industry average.

You can view the full analysis from the report here:

HHGregg 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,

XO Group

(

XOXO

) was up $0.29 (2.4%) to $12.18 on average volume. Throughout the day, 50,238 shares of XO Group exchanged hands as compared to its average daily volume of 52,400 shares. The stock ranged in a price between $11.98-$12.35 after having opened the day at $11.98 as compared to the previous trading day's close of $11.89.

XO Group Inc., a consumer Internet and media company, provides multiplatform media services to the wedding, nesting, and first-time pregnancy markets in the United States. XO Group has a market cap of $303.0 million and is part of the services sector. Shares are down 20.0% year-to-date as of the close of trading on Monday. Currently there are no analysts who rate XO Group a buy, 1 analyst rates 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

XO Group

as a

buy

. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Highlights from TheStreet Ratings analysis on XOXO go as follows:

  • XOXO's revenue growth trails the industry average of 27.9%. Since the same quarter one year prior, revenues slightly increased by 3.6%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
  • XOXO 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 3.59, which clearly demonstrates the ability to cover short-term cash needs.
  • The gross profit margin for XO GROUP INC is currently very high, coming in at 84.24%. It has increased from the same quarter the previous year. Despite the strong results of the gross profit margin, XOXO's net profit margin of 7.94% significantly trails the industry average.
  • XO GROUP INC's earnings per share declined by 25.0% in the most recent quarter compared to the same quarter a year ago. The company has suffered a declining pattern of earnings per share over the past year. However, we anticipate this trend reversing over the coming year. During the past fiscal year, XO GROUP INC reported lower earnings of $0.23 versus $0.36 in the prior year. This year, the market expects an improvement in earnings ($0.28 versus $0.23).
  • 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 Internet Software & Services industry. The net income has significantly decreased by 25.5% when compared to the same quarter one year ago, falling from $4.09 million to $3.05 million.

You can view the full analysis from the report here:

XO Group 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.

Dover Saddlery

(

DOVR

) was another company that pushed the Specialty Retail industry higher today. Dover Saddlery was up $0.10 (2.0%) to $5.05 on light volume. Throughout the day, 900 shares of Dover Saddlery exchanged hands as compared to its average daily volume of 10,500 shares. The stock ranged in a price between $4.95-$5.05 after having opened the day at $4.95 as compared to the previous trading day's close of $4.95.

Dover Saddlery, Inc. operates as a specialty retailer and omni-channel marketer of equestrian products in the United States. The company offers a selection of products required to own, ride, train, and compete with a horse. Dover Saddlery has a market cap of $25.5 million and is part of the services sector. Shares are down 11.2% year-to-date as of the close of trading on Monday. Currently there are no analysts who rate Dover Saddlery a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Dover Saddlery as a

hold

. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, unimpressive growth in net income and generally higher debt management risk.

Highlights from TheStreet Ratings analysis on DOVR go as follows:

  • DOVR's revenue growth has slightly outpaced the industry average of 0.0%. Since the same quarter one year prior, revenues slightly increased by 6.2%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
  • 39.96% is the gross profit margin for DOVER SADDLERY INC which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 1.07% trails the industry average.
  • DOVER SADDLERY INC's earnings per share declined by 16.7% in the most recent quarter compared to the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. During the past fiscal year, DOVER SADDLERY INC reported lower earnings of $0.27 versus $0.31 in the prior year.
  • 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 Specialty Retail industry. The net income has significantly decreased by 26.2% when compared to the same quarter one year ago, falling from $0.36 million to $0.26 million.

You can view the full analysis from the report here:

Dover Saddlery 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.