NEW YORK ( TheStreet) -- Palomar Medical Technologies (Nasdaq: PMTI) has been upgraded by TheStreet Ratings from sell to hold. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, we find that the company's return on equity has been disappointing.

Palomar Medical Technologies, Inc., together with its subsidiaries, designs, manufactures, markets, and sells lasers and other light-based products, and related disposable items and accessories for use in dermatology and cosmetic procedures. Palomar Medical has a market cap of $297.2 million and is part of the health care sector and health services industry. Shares are up 14.4% year to date as of the close of trading on Thursday.