NEW YORK ( TheStreet) -- GT Solar International (Nasdaq: SOLR) has been upgraded by TheStreet Ratings from hold to buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and notable return on equity. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results. Highlights from the ratings report include:
- The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Semiconductors & Semiconductor Equipment industry and the overall market, GT SOLAR INTL INC's return on equity significantly exceeds that of both the industry average and the S&P 500.
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Semiconductors & Semiconductor Equipment industry. The net income increased by 56.0% when compared to the same quarter one year prior, rising from $33.27 million to $51.89 million.
- GT SOLAR INTL INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, GT SOLAR INTL INC increased its bottom line by earning $1.27 versus $0.59 in the prior year. This year, the market expects an improvement in earnings ($1.41 versus $1.27).
- Powered by its strong earnings growth of 78.26% and other important driving factors, this stock has surged by 107.87% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, SOLR should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- The revenue growth greatly exceeded the industry average of 0.6%. Since the same quarter one year prior, revenues rose by 39.5%. Growth in the company's revenue appears to have helped boost the earnings per share.