BOSTON (

TheStreet

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

JPMorgan Chase

(JPM) - Get Report

to "buy."

The numbers

: Third-quarter net income surged 581% to $3.6 billion and earnings per share swung from negative 6 cents to positive 80 cents. Revenue grew 31% to $30 billion. Its gross margin rose from 39% to 61% and its operating margin increased from 5% to 34%. The company is adequately capitalized, with $252 billion of cash. A debt-to-equity ratio of 4.2 reflects excessive leverage.

The stock

: JPMorgan has risen 49% this year, outpacing major U.S. indices. The stock trades at a price-to-earnings ratio of 39, indicating a premium to the market, but parity with financial service peers. The shares pay a 0.4% dividend yield.

The model upgraded insurance provider

Progressive

(PGR) - Get Report

to "buy."

The numbers

: The company swung to a third-quarter profit of $270 million, or 40 cents a share, from a loss of $684 million, or $1.03 a share, in the year-earlier period. Revenue grew 63% to $3.6 billion. Its gross and operating margins climbed from negative territory to 11%. A debt-to-equity ratio of 0.4 reflects conservative leverage.

The stock

: Progressive has jumped 15% this year, beating the

Dow Jones Industrial Average

, but lagging the

S&P 500 Index

. The stock trades at a price-to-earnings ratio of 13, a discount to the market and insurance peers. The company doesn't pay dividends.

The model upgraded apparel designer

Warnaco Group

(WRC)

to "buy."

The numbers

: Second-quarter net income fell 9% to $18 million and earnings per share dropped 29% to 40 cents. Revenue declined 9% to $456 million. Its gross margin was unchanged at 43% and its operating margin fell from 11% to 9%. A quick ratio of 1.3 demonstrates adequate liquidity. A debt-to-equity ratio of 0.3 is below the industry average, indicating restrained leverage.

The stock

: Warnaco shares have more than doubled this year, beating major U.S. indices. The stock trades at a price-to-earnings ratio of 28, a premium to the market and apparel peers. The company doesn't pay dividends.

The model upgraded oil and gas driller

Ensco International

(ESV)

to "buy."

The numbers

: Second-quarter net income decreased 32% to $200 million and earnings per share fell 20% to $1.59, cushioned by a lower share count. Revenue dropped 16% to $512 million. Its gross margin fell from 67% to 65% and its operating margin narrowed from 57% to 52%. The company has an admirable financial position, with $882 million of cash, compared to $283 million of debt.

The numbers

: Ensco has advanced 68% this year, more than major U.S. indices. The stock trades at a price-to-earnings ratio of 6, a discount to the market and oil and gas peers. The shares offer a 0.2% dividend yield.

The model upgraded soda maker

Hansen Natural

( HANS) to "buy."

The numbers

: Second-quarter net income jumped 14% to $57 million, or 60 cents a share. Revenue grew 6% to $300 million. Its gross margin rose from 52% to 54% and its operating margin expanded from 28% to 31%. The company has an ideal financial position, with $314 million of cash and minimal debt.

The stock

: Hansen is up 12% this year, trailing major U.S. indices. The stock trades at a price-to-earnings ratio of 28, a premium to the market and soft drink peers. The company doesn't pay dividends.

-- Reported by Jake Lynch in Boston.