Top 5 Mid-Cap Stocks With 'Buy' Ratings

TheStreet.com Ratings provides exclusive stock, ETF and mutual fund recommendations using proprietary tools. Our "safety first" approach aims to reduce risk while achieving total return performance.

BOSTON ( TheStreet) -- The following mid-cap companies have market values between $500 million and $10 billion and received "buy" ratings from our quantitative model, which considers more than 60 factors. The stocks are ordered by their potential to gain.

Landauer ( LDR) offers equipment that measures people's exposure to radiation.

The numbers: Fiscal second-quarter revenue increased 5% to $25 million as earnings fell 16% to $5.4 million, or 58 cents per share. The operating margin remained steady at 42% and the net margin fell to 22%. The company has no debt. A quick ratio of 1.9 indicates ample liquidity.

The stock: Landauer has fallen 8% this year, underperforming the Dow Jones Industrial Average and the S&P 500 Index. The stock offers a 3.1% dividend yield, but trades at an expensive price-to-earnings ratio of 27.

Church & Dwight ( CHD) makes household and hygiene products, such as cat litter, cleaning agents and condoms.

The numbers: First-quarter revenue rose 5% to $581 million. Net income increased 11% to $63 million and earnings per share, which were hurt by a higher share count, climbed 9% to 88 cents. The operating margin expanded from 17% to 20% and the net margin increased from 10% to 11%. The company has a strong liquidity position, reflected by a quick ratio of 1.1. Its debt-to-equity ratio of 0.6 demonstrates restrained leverage.

The stock: Church & Dwight is up 6% this year, beating the Dow, but underperforming the S&P 500. The stock trades at an expensive price-to-earnings ratio of 21 and its dividend yield is less than 1%.

J&J Snack Foods ( JJSF) distributes snacks and frozen beverages in the U.S.

The numbers: Fiscal third-quarter revenue increased 2% to $180 million as earnings rose 38% to $15 million, or 80 cents per share. The operating margin climbed from 10% to 14% and the net margin increased from 6% to 8%. Over $81 million of cash reserves and a quick ratio of 1.9 demonstrate ample liquidity. The company holds minimal debt.

The stock: J&J Snack has climbed 22% this year, outpacing the Dow and S&P 500. The stock trades at an expensive price-to-earnings ratio of 22 and its dividend yield is less than 1%.

National Presto Industries ( NPK) makes small appliances, defense products and absorbent materials.

The numbers: First-quarter revenue increased 40% to $108 million as earnings rose 74% to $11 million, or $1.58 per share. Its operating margin expanded to 14% and its net margin climbed to 10%. National Presto has abundant cash reserves, reflected by a quick ratio of 3.6, and no debt.

The stock: National Presto has increased 2% this year, underperforming major U.S. indices. The stock trades at an affordable price-to-earnings ratio of 11 and offers an attractive 6% dividend yield.

MGE Energy ( MGEE) is a Wisconsin-based electric utility.

The numbers: First-quarter revenue dropped 5% to $181 million, but net income increased 8% to $15 million. Earnings per share, which climbed 3% to 65 cents, were hurt by a higher share count. The operating margin rose to 13% and the net margin increased from 7% to 8%. Although a quick ratio of 0.4 indicates weak liquidity, MGE has a lower debt load than its peers. A debt-to-equity ratio of 0.8 is a sign of restrained leverage. We give the company a financial strength score of 8.9 out of 10, which is higher than the average for "buy"-rated stocks.

The stock: MGE has advanced 8% this year, beating the Dow and S&P 500. The stock trades at a fair price-to-earnings ratio of 15 and offers a 4% dividend yield, which is higher than the S&P 500 average.

-- Reported by Jake Lynch in Boston. Feedback can be sent to jake.lynch@thestreet.com.

More from Opinion

Red Hat CFO Tells TheStreet: Tech Trends Are Still in Our Favor

Red Hat CFO Tells TheStreet: Tech Trends Are Still in Our Favor

Throwback Thursday: Intel Edition

Throwback Thursday: Intel Edition

Intel's Next CEO Should Try Harder to Protect Its Flanks Against AMD and Others

Intel's Next CEO Should Try Harder to Protect Its Flanks Against AMD and Others

3 Warren Buffett Stock Picks That Could Be Perfect for Your Retirement Portfolio

3 Warren Buffett Stock Picks That Could Be Perfect for Your Retirement Portfolio

Wednesday Wrap-Up: GE and Facebook

Wednesday Wrap-Up: GE and Facebook