Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. NEW YORK ( TheStreet) -- BBX Capital (NYSE: BBX) 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 expanding profit margins. However, as a counter to these strengths, we find that we feel that the company's cash flow from its operations has been weak overall.
- EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.
- Powered by its strong earnings growth of 66.03% and other important driving factors, this stock has surged by 122.44% 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.
- BBX CAPITAL CORP 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. During the past fiscal year, BBX CAPITAL CORP continued to lose money by earning -$2.34 versus -$4.12 in the prior year.
- Compared to other companies in the Thrifts & Mortgage Finance industry and the overall market, BBX CAPITAL CORP's return on equity significantly trails that of both the industry average and the S&P 500.
- The company, on the basis of net income growth from the same quarter one year ago, has significantly underperformed compared to the Thrifts & Mortgage Finance industry average, but is greater than that of the S&P 500. The net income increased by 76.8% when compared to the same quarter one year prior, rising from -$12.31 million to -$2.85 million.
- Net operating cash flow has significantly decreased to -$4.39 million or 177.38% when compared to the same quarter last year. Despite a decrease in cash flow of 177.38%, BBX CAPITAL CORP is still significantly exceeding the industry average of -375.88%.