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TheStreet.com Ratings provides exclusive stock, ETF and mutual fund ratings and commentary based on award-winning, proprietary tools. Its "safety first" approach to investing aims to reduce risk while seeking total return performance.

BOSTON (

TheStreet

) -- TheStreet.com's stock-rating model upgraded prison operator

Corrections Corp. of America

(CXW) - Get CoreCivic, Inc. Report

to "buy."

The numbers

: Second-quarter net income declined 13% to $33 million and earnings per share fell 7% to 28 cents, cushioned by a lower share count. Revenue grew 6% to $413 million. Its gross margin remained steady at 30%, but its operating margin fell from 19% to 18%. A quick ratio of 1.8 demonstrates ample liquidity. A debt-to-equity ratio of 1 indicates higher-than-ideal leverage.

The stock

: Corrections Corp. of America is up 42% this year, beating major U.S. indices. The stock trades at a price-to-earnings ratio of 19, a slight discount to the market and security service peers. The company doesn't pay dividends.

The model upgraded hotel leaser

Hospitality Properties

(HPT)

to "buy."

The numbers

TheStreet Recommends

: The company swung to a second-quarter profit of $51 million, or 46 cents a share, from a loss of $19 million, or 29 cents a share, in the year-earlier period. Revenue decreased 21% to $267 million. Its gross and operating margins remained steady at 27%. The trust holds just $7 million of cash, compared to $2.4 billion of debt. A debt-to-equity ratio of 0.8 indicates reasonable leverage.

The stock

: Hospitality Properties is up 38% this year, more than major U.S. indices. The stock trades at a price-to-earnings ratio of 11, a discount to the market and real estate investment trust peers.

The model upgraded oil and gas service provider

Oceaneering International

(OII) - Get Oceaneering International, Inc. Report

to "buy."

The numbers

: Second-quarter net income dropped 8% to $48 million and earnings per share fell 6% to 87 cents. Revenue declined 10% to $451 million. Its gross margin rose from 19% to 31%, but its operating margin was unchanged at 16%. The company has adequate liquidity, demonstrated by a quick ratio of 1.3. A debt-to-equity ratio of 0.1 is below the industry average, indicating restrained leverage.

The numbers

: Oceaneering International is up 97% this year, outpacing major U.S. indices. The stock trades at a price-to-earnings ratio of 16, a discount to the market, but a premium to oil and gas service peers. The company doesn't pay dividends.

The model upgraded information technology consultant

Sapient

(SAPE)

to "buy."

The numbers

: Second-quarter net income decreased 34% to $7.6 million and earnings per share fell 33% to 6 cents. Revenue fell 10% to $154 million. Its gross margin declined from 35% to 32% and its operating margin dropped from 7% to 6%. The company has an ideal financial position, with $175 million of cash and no debt.

The stock

: Sapient has advanced 80% this year, beating major U.S. indices. The stock trades at a price-to-earnings ratio of 19, a discount to the market and IT-consulting peers. The company doesn't pay dividends.

The model upgraded temporary staffing firm

TrueBlue

(TBI) - Get TrueBlue, Inc. Report

to "hold."

The numbers

: Second-quarter profit plummeted 78% to $3.7 million, or 9 cents a share, as revenue decreased 33% to $247 million. Its gross margin declined from 30% to 29% and its operating margin fell from 6% to 2%. The company has an ideal financial position, with $104 million of cash and no debt.

The stock

: TrueBlue has risen 49% this year, more than major U.S. indices. The company posted losses in the two previous quarters. The stock doesn't pay dividends.

-- Reported by Jake Lynch in Boston.