NEW YORK ( TheStreet) -- Tengasco (AMEX: TGC) has been upgraded by TheStreet Ratings from sell to hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and expanding profit margins. However, as a counter to these strengths, we find that the company's return on equity has been disappointing. Highlights from the ratings report include:
- TGC's revenue growth has slightly outpaced the industry average of 38.6%. Since the same quarter one year prior, revenues rose by 45.4%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- Powered by its strong earnings growth of 100.00% and other important driving factors, this stock has surged by 81.32% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, our hold rating indicates that we do not recommend additional investment in this stock despite its gains in the past year.
- TENGASCO INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. Stable Earnings per share over the past year indicate the company has sound management over its earnings and share float. During the past fiscal year, TENGASCO INC's EPS of -$0.04 remained unchanged from the prior years' EPS of -$0.04.
- The company, on the basis of net income growth from the same quarter one year ago, has significantly underperformed compared to the Oil, Gas & Consumable Fuels industry average, but is greater than that of the S&P 500. The net income increased by 32.7% when compared to the same quarter one year prior, rising from $0.74 million to $0.98 million.
- The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market, TENGASCO INC's return on equity significantly trails that of both the industry average and the S&P 500.