) -- TheStreet.com's stock-rating model downgraded
, a specialized construction and engineering company, to "hold."
: Third-quarter profit decreased 11% to $162 million, or 89 cents a share. Revenue declined 5% to $5.4 billion. Fluor's gross margin remained steady at 6%, and its operating margin was unchanged at 5%. The company has an admirable financial position, with $2 billion of cash and $136 million in debt. We give Fluor a financial-strength score of 9.9 out of 10.
: Fluor has fallen 3% this year, underperforming major U.S. indices. The stock trades at a price-to-earnings ratio of 11, a discount to the market and construction and engineering peers. The shares offer a 1.1% dividend yield.
The model upgraded
Crown Castle International
, an owner of telecom towers, to "hold."
: The company's third-quarter loss narrowed 2% to $32 million, but its per-share loss stalled at 13 cents. Revenue grew 12% to $429 million. Crown Castle's gross margin stretched from 65% to 68%, and its operating margin widened from 21% to 28%. A quick ratio of 0.7 indicates less-than-ideal liquidity. The company's 1.9 debt-to-equity ratio reflects excessive leverage.
: Crown Castle International has surged 120% this year, beating major U.S. indices. The company has suffered significant losses over the past three years. Crown Castle doesn't pay dividends.
The model downgraded
National Bank of Greece
: Third-quarter net income improved 13% to $484 million, but earnings per share fell 6% to 16 cents. Revenue increased 19% to $2.9 billion. The company's gross margin stretched from 48% to 54%, but its net margin declined from 17% to 16%. National Bank of Greece holds $12 billion of cash and short-term investments and $4.2 billion of debt. Still, the company was recently put on watch for a credit downgrade at
Standard & Poor's
: National Bank of Greece has climbed 28% this year, but dropped 27% over the past month on concern about budget problems. The stock trades at a price-to-earnings ratio of 7, a discount to the market and commercial-bank peers. The shares don't consistently pay dividends.
The model upgraded oil and gas company
: Third-quarter profit plummeted 46% to $118 million, or 34 cents a share. Revenue fell 26% to $503 million. Southwestern Energy's gross margin rose from 59% to 61%, but its operating margin descended from 44% to 39%. The company has a poor financial position, with just $10 million of cash and $956 million of debt. Its quarterly interest expenses total $15 million.
: Southwestern Energy has returned 67% this year, more than major U.S. indices. Still, the company suffered a loss of $1.26 a share in the first quarter. Southwestern Energy doesn't pay dividends.
The model downgraded application-software designer
: Adobe swung to a fiscal fourth-quarter loss of $32 million, or 6 cents a share, from a profit of $246 million, or 46 cents a share, a year earlier. Revenue dropped 17% to $757 million. Adobe's gross margin slimmed from 89% to 86%, and its gross margin fell from 33% to 24%. The company has a stable financial position, with $1.9 billion of cash and $1 billion of debt.
: Adobe Systems has increased 75% this year, outpacing major U.S. indices. The stock trades at a price-to-earnings ratio of 50, a premium to the market and software peers. Adobe doesn't pay dividends.
The model downgraded cruise company
: Fiscal fourth-quarter profit slumped 48% to $193 million, or 24 cents a share. Revenue declined 3% to $3.2 billion. Carnival's gross margin narrowed from 34% to 33%, and its operating margin decreased from 13% to 9%. Carnival has a poor liquidity position, evident in its quick ratio of 0.2. Its 0.5 debt-to-equity ratio indicates conservative leverage.
: Carnival Corp. has ascended 33% this year, more than the
Dow Jones Industrial Average
S&P 500 Index
. The stock trades at a price-to-earnings ratio of 14, a discount to the market and leisure peers. Carnival doesn't pay dividends.
-- Reported by Jake Lynch in Boston.