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. One out of the three major indices traded up today Two out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading down 34.31 points (-0.2%) at 16,641 as of Wednesday, May 28, 2014, 3:55 PM ET. The NYSE advances/declines ratio sits at 1,576 issues advancing vs. 1,440 declining with 141 unchanged. The Transportation industry as a whole closed the day down 0.1% versus the S&P 500, which was up 0.1%. Top gainers within the Transportation industry included Globus Maritime ( GLBS), up 5.1%, Dynagas LNG Partners ( DLNG), up 2.8%, Quality Distribution ( QLTY), up 3.2%, Echo Global Logistics ( ECHO), up 1.6% and Golar LNG Partners ( GMLP), up 1.7%. TheStreet Ratings Group would like to highlight 3 stocks pushing the industry higher today: Quality Distribution ( QLTY) is one of the companies that pushed the Transportation industry higher today. Quality Distribution was up $0.45 (3.2%) to $14.50 on heavy volume. Throughout the day, 455,305 shares of Quality Distribution exchanged hands as compared to its average daily volume of 176,100 shares. The stock ranged in a price between $13.93-$14.54 after having opened the day at $14.05 as compared to the previous trading day's close of $14.05. Quality Distribution, Inc., together with its subsidiaries, is engaged in the transportation of bulk chemicals primarily in North America. It operates in three segments: Chemical Logistics, Energy Logistics, and Intermodal. Quality Distribution has a market cap of $381.7 million and is part of the services sector. Shares are up 8.6% year-to-date as of the close of trading on Tuesday. Currently there are 3 analysts who rate Quality Distribution a buy, no analysts rate it a sell, and 1 rates it a hold. STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings rates Quality Distribution as a hold. The company's strengths can be seen in multiple areas, such as its solid stock price performance and revenue growth. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, poor profit margins and feeble growth in the company's earnings per share. Highlights from TheStreet Ratings analysis on QLTY go as follows:
- Compared to its closing price of one year ago, QLTY's share price has jumped by 55.07%, exceeding the performance of the broader market during that same time frame. 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.
- Despite its growing revenue, the company underperformed as compared with the industry average of 8.5%. Since the same quarter one year prior, revenues slightly increased by 2.2%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
- QUALITY DISTRIBUTION INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. However, the consensus estimate suggests that this trend should reverse in the coming year. During the past fiscal year, QUALITY DISTRIBUTION INC swung to a loss, reporting -$1.59 versus $1.83 in the prior year. This year, the market expects an improvement in earnings ($0.77 versus -$1.59).
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Road & Rail industry. The net income has significantly decreased by 66.4% when compared to the same quarter one year ago, falling from $9.14 million to $3.07 million.
- The gross profit margin for QUALITY DISTRIBUTION INC is currently extremely low, coming in at 10.38%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of 1.31% significantly trails the industry average.