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.

Trade-Ideas LLC identified

Teekay Tankers

(

TNK

) as a "dead cat bounce" (down big yesterday but up big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified Teekay Tankers as such a stock due to the following factors:

  • TNK has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $14.7 million.
  • TNK has traded 145,114 shares today.
  • TNK is up 3.3% today.
  • TNK was down 5.9% yesterday.

EXCLUSIVE OFFER: Get the inside scoop on opportunities in TNK with the Ticky from Trade-Ideas. See the FREE profile for TNK NOW at Trade-Ideas

More details on TNK:

Teekay Tankers Ltd. is engaged in the marine transportation of crude oil and refined petroleum products through the operation of its oil and product tankers worldwide. The stock currently has a dividend yield of 1.6%. TNK has a PE ratio of 11. Currently there are 4 analysts that rate Teekay Tankers a buy, no analysts rate it a sell, and 5 rate it a hold.

The average volume for Teekay Tankers has been 1.9 million shares per day over the past 30 days. Teekay Tankers has a market cap of $713.8 million and is part of the services sector and transportation industry. The stock has a beta of 2.75 and a short float of 7% with 2.88 days to cover. Shares are up 39.3% year-to-date as of the close of trading on Tuesday.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates Teekay Tankers as a

hold

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and growth in earnings per share. 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 the ratings report include:

  • TNK's very impressive revenue growth greatly exceeded the industry average of 38.8%. Since the same quarter one year prior, revenues leaped by 87.2%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • Investors have apparently begun to recognize positive factors similar to those we have mentioned in this report, including earnings growth. This has helped drive up the company's shares by a sharp 72.51% over the past year, a rise that has exceeded that of the S&P 500 Index. Regarding the stock's future course, our hold rating indicates that we do not recommend additional investment in this stock despite its gains in the past year.
  • Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market on the basis of return on equity, TEEKAY TANKERS LTD has underperformed in comparison with the industry average, but has exceeded that of the S&P 500.
  • The debt-to-equity ratio of 1.41 is relatively high when compared with the industry average, suggesting a need for better debt level management. To add to this, TNK has a quick ratio of 0.68, this demonstrates the lack of ability of the company to cover short-term liquidity needs.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.