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BOSTON (

TheStreet

) -- TheStreet.com's stock-rating model downgraded distributor

Applied Industrial Technologies

(AIT) - Get Applied Industrial Technologies, Inc. Report

to "hold."

The numbers

: The company swung to a fiscal fourth-quarter loss of $8 million, or 19 cents a share, from a profit of $24 million, or 57 cents a share, in the year-earlier period. Revenue fell 20% to $425 million. Its gross margin remained steady at 27% and its operating margin decreased from 7% to 5%. A quick ratio of 1.5 demonstrates adequate liquidity. A debt-to-equity ratio of 0.2 indicates modest leverage.

The stock

: Applied Industrial Technologies has risen 4% this year, lagging behind major U.S. indices. The stock trades at a price-to-earnings ratio of 20, indicating parity with the market, but a premium to trading and distributing peers.

The model upgraded

Martin Marietta Materials

(MLM) - Get Martin Marietta Materials, Inc. Report

, a seller of construction aggregates, to "buy."

The numbers

: Second-quarter net income decreased 39% to $39 million, or 85 cents a share, as revenue fell 22% to $466 million. Its gross margin rose from 30% to 34%, but its operating margin remained steady at 16%. A quick ratio of 1 reflects adequate liquidity. A debt-to-equity ratio of 1 indicates higher-than-ideal leverage.

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The stock

: Martin Marietta Materials has fallen 5% this year, trailing major U.S. indices. The stock trades at a price-to-earnings ratio of 32, a premium to the market and construction material peers. The shares offer a 1.7% dividend yield.

The model upgraded

Illumina

(ILMN) - Get Illumina, Inc. Report

, a seller of genetic analysis tools, to "buy."

The numbers

: Second-quarter net income increased 95% to $25 million and earnings per share climbed 80% to 18 cents. Revenue grew 15% to $161 million. Its gross margin rose from 67% to 74% and its operating margin ascended from 20% to 22%. The company has an ideal financial position, with $735 million of cash, compared to $280 million of debt.

The stock

: Illumina has advanced 62% this year, beating major U.S. indices. The stock trades at a price-to-earnings ratio of 95, a premium to the market and life science peers. The company doesn't pay dividends.

The model upgraded seed and herbicide seller

Monsanto

(MON)

to "hold."

The numbers

: The company's fiscal fourth-quarter loss widened to $233 million, or 43 cents a share, from a loss of $172 million, or 32 cents, in the year-earlier period. Revenue declined 8% to $1.9 billion. Its gross margin rose from 54% to 56% and its operating margin climbed from negative territory to 8%. A quick ratio of 1.1 indicates adequate liquidity. A debt-to-equity ratio of 0.2 demonstrates restrained leverage.

The stock

: Monsanto has advanced 7% this year, trailing behind than major U.S. indices. The stock trades at a price-to-earnings ratio of 19, a discount to the market and agriculture peers. The shares offer a 1.4% dividend yield.

The model downgraded

Teradata

(TDC) - Get Teradata Corporation Report

, a provider of data warehousing products, to "hold."

The numbers

: Second-quarter net income dropped 10% to $62 million and earnings per share fell 5% to 36 cents, cushioned by a lower share count. Revenue declined 7% to $421 million. Its gross margin was unchanged at 58% and its operating margin remained steady at 20%. The company has an ideal financial position, with $638 million of cash and no debt.

The stock

: Teradata is up 83% this year, outpacing major U.S. indices. The stock trades at a price-to-earnings ratio of 19, a discount to the market and computer hardware peers. The company doesn't pay dividends.

-- Reported by Jake Lynch in Boston.