NEW YORK ( TheStreet) -- Talisman Energy (NYSE: TLM) has been upgraded by TheStreet Ratings from hold to buy. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth, reasonable valuation levels, expanding profit margins and good cash flow from operations. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Highlights from the ratings report include:
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Oil, Gas & Consumable Fuels industry. The net income increased by 189.3% when compared to the same quarter one year prior, rising from -$326.00 million to $291.00 million.
- Despite its growing revenue, the company underperformed as compared with the industry average of 14.6%. Since the same quarter one year prior, revenues slightly increased by 5.9%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The gross profit margin for TALISMAN ENERGY INC is currently very high, coming in at 72.40%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 13.90% is above that of the industry average.
- Net operating cash flow has increased to $980.00 million or 10.98% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -3.48%.
-- Written by a member of TheStreet RatingsStaff