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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

TheStreet Ratings' stock model projects a stock's total return potential over a 12-month period including both price appreciation and dividends. Our Buy, Hold or Sell ratings designate how we expect these stocks to perform against a general benchmark of the equities market and interest rates.

While plenty of high-yield opportunities exist, investors must always consider the safety of their dividend and the total return potential of their investment. It is not uncommon for a struggling company to suspend high-yielding dividends which could subsequently result in precipitous share price declines.

TheStreet Ratings' stock rating model views dividends favorably, but not so much that other factors are disregarded. Our model gauges the relationship between risk and reward in several ways, including: the pricing drawdown as compared to potential profit volatility, i.e. how much one is willing to risk in order to earn profits?; the level of acceptable volatility for highly performing stocks; the current valuation as compared to projected earnings growth; and the financial strength of the underlying company as compared to its stock's valuation as compared to its stock's performance.

These and many more derived observations are then combined, ranked, weighted, and scenario-tested to create a more complete analysis. The result is a systematic and disciplined method of selecting stocks. As always, stock ratings should not be treated as gospel — rather, use them as a starting point for your own research.

The following pages contain our analysis of 3 stocks with substantial yields, that ultimately, we have rated "Hold."

OCI Resources

Dividend Yield: 8.40%

OCI Resources

(NYSE:

OCIR

) shares currently have a dividend yield of 8.40%.

OCI Resources LP engages in the trona ore mining and soda ash production businesses in the United States and internationally. It processes trona ore into soda ash, which is a raw material in flat glass, container glass, detergents, chemicals, paper, and other consumer and industrial products. The company has a P/E ratio of 10.86.

The average volume for OCI Resources has been 27,100 shares per day over the past 30 days. OCI Resources has a market cap of $250.6 million and is part of the metals & mining industry. Shares are down 1.4% year-to-date as of the close of trading on Tuesday.

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TheStreet Ratings rates

TheStreet Recommends

OCI Resources

as a

hold

. 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 impressive record of earnings per share growth. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and poor profit margins.

Highlights from the ratings report include:

  • The revenue growth came in higher than the industry average of 13.2%. Since the same quarter one year prior, revenues slightly increased by 3.6%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • The debt-to-equity ratio is somewhat low, currently at 0.97, and is less than that of the industry average, implying that there has been a relatively successful effort in the management of debt levels. Along with this, the company maintains a quick ratio of 3.24, which clearly demonstrates the ability to cover short-term cash needs.
  • Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. In comparison to other companies in the Chemicals industry and the overall market on the basis of return on equity, OCI RESOURCES LP has underperformed in comparison with the industry average, but has greatly exceeded that of the S&P 500.
  • The gross profit margin for OCI RESOURCES LP is currently lower than what is desirable, coming in at 31.56%. Regardless of OCIR's low profit margin, it has managed to increase from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 10.63% trails the industry average.
  • In its most recent trading session, OCIR 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. The fact that the stock is now selling for less than others in its industry in relation to its current earnings is not reason enough to justify a buy rating at this time.

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CVR Refining

Dividend Yield: 15.50%

CVR Refining

(NYSE:

CVRR

) shares currently have a dividend yield of 15.50%.

CVR Refining, LP operates as an independent petroleum refiner and marketer of transportation fuels in the United States. It owns and operates a complex full coking medium-sour crude oil refinery in Coffeyville, Kansas. The company has a P/E ratio of 20.59.

The average volume for CVR Refining has been 306,500 shares per day over the past 30 days. CVR Refining has a market cap of $2.9 billion and is part of the energy industry. Shares are up 18.3% year-to-date as of the close of trading on Tuesday.

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TheStreet Ratings rates

CVR Refining

as a

hold

. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures and attractive valuation levels. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity.

Highlights from the ratings report include:

  • The current debt-to-equity ratio, 0.40, is low and is below the industry average, implying that there has been successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.39, which illustrates the ability to avoid short-term cash problems.
  • CVRR, with its decline in revenue, slightly underperformed the industry average of 38.9%. Since the same quarter one year prior, revenues fell by 45.1%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
  • 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 Oil, Gas & Consumable Fuels industry. The net income has significantly decreased by 82.4% when compared to the same quarter one year ago, falling from $265.40 million to $46.70 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. In comparison to the other companies in the Oil, Gas & Consumable Fuels industry and the overall market, CVR REFINING LP's return on equity is significantly below that of the industry average and is below that of the S&P 500.

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Ares Commercial Real Estate

Dividend Yield: 8.40%

Ares Commercial Real Estate

(NYSE:

ACRE

) shares currently have a dividend yield of 8.40%.

Ares Commercial Real Estate Corporation operates as a specialty finance company. The company operates in two segments, Principal Lending and Mortgage Banking. The company has a P/E ratio of 12.81.

The average volume for Ares Commercial Real Estate has been 133,100 shares per day over the past 30 days. Ares Commercial Real Estate has a market cap of $340.4 million and is part of the real estate industry. Shares are up 4.4% year-to-date as of the close of trading on Tuesday.

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TheStreet Ratings rates

Ares Commercial Real Estate

as a

hold

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, growth in earnings per share and compelling growth in net income. However, as a counter to these strengths, we find that the stock has had a generally disappointing performance in the past year.

Highlights from the ratings report include:

  • The revenue growth greatly exceeded the industry average of 8.6%. Since the same quarter one year prior, revenues rose by 45.2%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • ARES COMMERCIAL REAL ESTATE has improved earnings per share by 47.0% 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. We feel that this trend should continue. This trend suggests that the performance of the business is improving. During the past fiscal year, ARES COMMERCIAL REAL ESTATE increased its bottom line by earning $0.85 versus $0.73 in the prior year. This year, the market expects an improvement in earnings ($1.10 versus $0.85).
  • The gross profit margin for ARES COMMERCIAL REAL ESTATE is rather high; currently it is at 65.96%. It has increased significantly from the same period last year. Regardless of the strong results of the gross profit margin, the net profit margin of 24.67% trails the industry average.
  • 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 Real Estate Investment Trusts (REITs) industry and the overall market, ARES COMMERCIAL REAL ESTATE's return on equity is below that of both the industry average and the S&P 500.
  • ACRE has underperformed the S&P 500 Index, declining 6.82% from its price level of one year ago. The fact that the stock is now selling for less than others in its industry in relation to its current earnings is not reason enough to justify a buy rating at this time.

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