NEW YORK (

TheStreet

)

-- Compass Diversified Holdings

(NYSE:

CODI

) has been downgraded by TheStreet Ratings from buy to hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and poor profit margins.

Compass Diversified Holdings is a public investment firm specializing in acquiring controlling stakes in small to middle market companies. The firm seeks to make middle market and buyout investments. Compass Diversified has a market cap of $685.1 million and is part of the

financial

sector and

financial services

industry. Shares are down 12.2% year to date as of the close of trading on Wednesday.

You can view the full

Compass Diversified Ratings Report

or get investment ideas from our

investment research center

.

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