The firm said it upgraded the financial holding company's rating because it reported strong earnings for the first quarter 2014.
The company reported its net income for the first quarter 2014 is $13.6 million, an increase from the $11 million reported in the same quarter in 2013.
First Merchants' total assets equaled $5.5 billion at the end of the quarter.
TheStreet Ratings team rates FIRST MERCHANTS CORP as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate FIRST MERCHANTS CORP (FRME) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins, good cash flow from operations, increase in net income and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity."
Highlights from the analysis by TheStreet Ratings Team goes as follows: