1. As of noon trading, Time Warner ( TWX) is down $0.65 (-1.1%) to $59.75 on light volume Thus far, 2.1 million shares of Time Warner exchanged hands as compared to its average daily volume of 7.0 million shares. The stock has ranged in price between $59.74-$60.63 after having opened the day at $60.45 as compared to the previous trading day's close of $60.40.

Time Warner Inc. operates as a media and entertainment company in the United States and internationally. The company operates in three segments: Networks, Film and TV Entertainment, and Publishing. Time Warner has a market cap of $56.2 billion and is part of the media industry. The company has a P/E ratio of 19.5, above the S&P 500 P/E ratio of 17.7. Shares are up 26.3% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Time Warner as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share, increase in net income, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Time Warner Ratings Report now.

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A reminder about TheStreet Ratings group: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.
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