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 275 points (1.6%) at 16,994 as of Wednesday, Oct. 8, 2014, 4:20 PM ET. The NYSE advances/declines ratio sits at 2,500 issues advancing vs. 612 declining with 106 unchanged.

The Telecommunications industry as a whole closed the day up 0.7% versus the S&P 500, which was up 1.7%. Top gainers within the Telecommunications industry included

Maxcom Telecomunicaciones SAB de CV

(

MXT

), up 3.0%,

Optical Cable

(

OCC

), up 2.3%,

Frequency Electronics

(

FEIM

), up 3.1%,

B Communications

(

BCOM

), up 1.6% and

China TechFaith Wireless Comm Tech

(

CNTF

), up 4.7%.

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

B Communications

(

BCOM

) is one of the companies that pushed the Telecommunications industry higher today. B Communications was up $0.34 (1.6%) to $21.09 on light volume. Throughout the day, 2,228 shares of B Communications exchanged hands as compared to its average daily volume of 4,100 shares. The stock ranged in a price between $20.73-$21.18 after having opened the day at $20.73 as compared to the previous trading day's close of $20.75.

B Communications Ltd. provides various communications services in Israel. B Communications has a market cap of $612.6 million and is part of the technology sector. Shares are up 17.1% year-to-date as of the close of trading on Tuesday. Currently there are no analysts who rate B Communications 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 B Communications as a

hold

. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity and attractive valuation levels. However, as a counter to these strengths, we find that the company has favored debt over equity in the management of its balance sheet.

Highlights from TheStreet Ratings analysis on BCOM go as follows:

  • BCOM's revenue growth has slightly outpaced the industry average of 1.6%. Since the same quarter one year prior, revenues slightly increased by 3.4%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • B COMMUNICATIONS LTD reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. During the past fiscal year, B COMMUNICATIONS LTD increased its bottom line by earning $1.29 versus $0.41 in the prior year.
  • 43.72% is the gross profit margin for B COMMUNICATIONS LTD which we consider to be strong. Regardless of BCOM's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, BCOM's net profit margin of 39.34% significantly outperformed against the industry.
  • In its most recent trading session, BCOM 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. Despite the fact that it has already risen in the past year, there is currently no conclusive evidence that warrants the purchase or sale of this stock.
  • The debt-to-equity ratio is very high at 14.29 and currently higher than the industry average, implying increased risk associated with the management of debt levels within the company. Along with the unfavorable debt-to-equity ratio, BCOM maintains a poor quick ratio of 0.82, which illustrates the inability to avoid short-term cash problems.

You can view the full analysis from the report here:

B Communications 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,

Frequency Electronics

(

FEIM

) was up $0.33 (3.1%) to $11.03 on average volume. Throughout the day, 7,105 shares of Frequency Electronics exchanged hands as compared to its average daily volume of 5,600 shares. The stock ranged in a price between $10.63-$11.03 after having opened the day at $10.65 as compared to the previous trading day's close of $10.70.

Frequency Electronics, Inc., together with its subsidiaries, designs, develops, and manufactures precision time and frequency control products and components for microwave integrated circuit applications. It operates in three segments: FEI-NY, Gillam-FEI, and FEI-Zyfer. Frequency Electronics has a market cap of $91.6 million and is part of the technology sector. Shares are down 8.7% year-to-date as of the close of trading on Tuesday. Currently there are no analysts who rate Frequency Electronics 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

Frequency Electronics

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, increase in net income and notable return on equity. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Highlights from TheStreet Ratings analysis on FEIM go as follows:

  • The revenue growth came in higher than the industry average of 5.8%. Since the same quarter one year prior, revenues rose by 17.3%. This growth in revenue does not appear to have trickled down to the company's bottom line, displaying stagnant earnings per share.
  • FEIM's debt-to-equity ratio is very low at 0.14 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with this, the company maintains a quick ratio of 4.07, which clearly demonstrates the ability to cover short-term cash needs.
  • The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and the Electronic Equipment, Instruments & Components industry average. The net income increased by 6.4% when compared to the same quarter one year prior, going from $0.68 million to $0.72 million.
  • FREQUENCY ELECTRONICS INC reported flat earnings per share in the most recent quarter. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, FREQUENCY ELECTRONICS INC increased its bottom line by earning $0.47 versus $0.43 in the prior year. This year, the market expects an improvement in earnings ($0.51 versus $0.47).
  • 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. When compared to other companies in the Electronic Equipment, Instruments & Components industry and the overall market, FREQUENCY ELECTRONICS INC's return on equity is below that of both the industry average and the S&P 500.

You can view the full analysis from the report here:

Frequency Electronics 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.

Maxcom Telecomunicaciones SAB de CV

(

MXT

) was another company that pushed the Telecommunications industry higher today. Maxcom Telecomunicaciones SAB de CV was up $0.04 (3.0%) to $1.36 on light volume. Throughout the day, 300 shares of Maxcom Telecomunicaciones SAB de CV exchanged hands as compared to its average daily volume of 900 shares. The stock ranged in a price between $1.33-$1.36 after having opened the day at $1.33 as compared to the previous trading day's close of $1.32.

Maxcom Telecomunicaciones, S.A.B. de C.V., an integrated telecommunication services operator, provides voice and data services to residential and small and medium-sized business customers in Mexico. Maxcom Telecomunicaciones SAB de CV has a market cap of $591.3 million and is part of the technology sector. Shares are down 19.0% year-to-date as of the close of trading on Tuesday. Currently there are no analysts who rate Maxcom Telecomunicaciones SAB de CV a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Maxcom Telecomunicaciones SAB de CV as a

sell

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

Highlights from TheStreet Ratings analysis on MXT go as follows:

  • 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 Diversified Telecommunication Services industry and the overall market, MAXCOM TELECOMUNICACIONES SA'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 $3.08 million or 76.18% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
  • MXT'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 53.93%, 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.
  • MAXCOM TELECOMUNICACIONES SA 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, MAXCOM TELECOMUNICACIONES SA reported poor results of -$0.57 versus -$0.11 in the prior year.
  • 45.07% is the gross profit margin for MAXCOM TELECOMUNICACIONES SA which we consider to be strong. Despite the high profit margin, it has decreased significantly from the same period last year. Despite the mixed results of the gross profit margin, MXT's net profit margin of -3.85% significantly underperformed when compared to the industry average.

You can view the full analysis from the report here:

Maxcom Telecomunicaciones SAB de CV 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.