3 Stocks Driving The Consumer Non-Durables Industry Higher

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.

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 55.93 points (-0.3%) at 16,507 as of Friday, Aug. 1, 2014, 3:55 PM ET. The NYSE advances/declines ratio sits at 1,028 issues advancing vs. 2,012 declining with 122 unchanged.

The Consumer Non-Durables industry as a whole closed the day down 0.3% versus the S&P 500, which was down 0.1%. Top gainers within the Consumer Non-Durables industry included DS Healthcare Group ( DSKX), up 3.1%, Fuwei Films (Holdings ( FFHL), up 2.5%, Exceed ( EDS), up 3.2%, Lifevantage ( LFVN), up 3.1% and Orchids Paper Products ( TIS), up 2.7%.

TheStreet Ratings Group would like to highlight 3 stocks pushing the industry higher today:

Exceed ( EDS) is one of the companies that pushed the Consumer Non-Durables industry higher today. Exceed was up $0.05 (3.2%) to $1.61 on light volume. Throughout the day, 9,881 shares of Exceed exchanged hands as compared to its average daily volume of 21,900 shares. The stock ranged in a price between $1.60-$1.61 after having opened the day at $1.60 as compared to the previous trading day's close of $1.56.

Exceed Company Ltd. is engaged in the design, development, and wholesale of footwear, apparel, and accessories under the brand name of Xidelong in the People's Republic of China. Exceed has a market cap of $52.0 million and is part of the consumer goods sector. Shares are down 5.5% year-to-date as of the close of trading on Thursday. Currently there are no analysts who rate Exceed a buy, no analysts rate it a sell, and none rate it a hold.

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TheStreet Ratings rates Exceed as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and attractive valuation levels. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, poor profit margins and weak operating cash flow.

Highlights from TheStreet Ratings analysis on EDS go as follows:

  • The revenue growth came in higher than the industry average of 8.7%. Since the same quarter one year prior, revenues rose by 33.7%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • EDS's debt-to-equity ratio is very low at 0.03 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with this, the company maintains a quick ratio of 12.21, which clearly demonstrates the ability to cover short-term cash needs.
  • EXCEED CO LTD reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has not demonstrated a clear trend in earnings over the past 2 years, making it difficult to accurately predict earnings for the coming year. During the past fiscal year, EXCEED CO LTD reported lower earnings of $0.33 versus $0.96 in the prior year.
  • The gross profit margin for EXCEED CO LTD is currently lower than what is desirable, coming in at 27.28%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of 4.36% trails that of the industry average.
  • Net operating cash flow has significantly decreased to -$13.97 million or 293.04% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.

You can view the full analysis from the report here: Exceed Ratings Report

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

At the close, Fuwei Films (Holdings ( FFHL) was up $0.03 (2.5%) to $1.24 on light volume. Throughout the day, 800 shares of Fuwei Films (Holdings exchanged hands as compared to its average daily volume of 24,400 shares. The stock ranged in a price between $1.23-$1.24 after having opened the day at $1.24 as compared to the previous trading day's close of $1.21.

Fuwei Films (Holdings) Co., Ltd., through its subsidiary, Fuwei Films (Shandong) Co., Ltd., develops, manufactures, and distributes plastic films using the biaxially- oriented stretch technique in the People's Republic of China. Fuwei Films (Holdings has a market cap of $15.8 million and is part of the consumer goods sector. Shares are up 8.0% year-to-date as of the close of trading on Thursday. Currently there are no analysts who rate Fuwei Films (Holdings a buy, no analysts rate it a sell, and none rate 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 Fuwei Films (Holdings as a sell. The company's weaknesses can be seen in multiple areas, such as its disappointing return on equity and poor profit margins.

Highlights from TheStreet Ratings analysis on FFHL go as follows:

  • The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. Compared to other companies in the Chemicals industry and the overall market, FUWEI FILMS HOLDINGS CO's return on equity significantly trails that of both the industry average and the S&P 500.
  • The gross profit margin for FUWEI FILMS HOLDINGS CO is rather low; currently it is at 17.15%. Regardless of FFHL's low profit margin, it has managed to increase from the same period last year. Despite the mixed results of the gross profit margin, FFHL's net profit margin of -18.75% significantly underperformed when compared to the industry average.
  • FUWEI FILMS HOLDINGS CO has improved earnings per share by 27.3% in the most recent quarter compared to the same quarter a year ago. This company has not demonstrated a clear trend in earnings over the past 2 years, making it difficult to accurately predict earnings for the coming year. During the past fiscal year, FUWEI FILMS HOLDINGS CO reported poor results of -$0.74 versus -$0.66 in the prior year.
  • FFHL, with its decline in revenue, underperformed when compared the industry average of 7.0%. Since the same quarter one year prior, revenues slightly dropped by 7.8%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
  • The current debt-to-equity ratio, 0.47, is low and is below the industry average, implying that there has been successful management of debt levels. Even though the company has a strong debt-to-equity ratio, the quick ratio of 0.31 is very weak and demonstrates a lack of ability to pay short-term obligations.

You can view the full analysis from the report here: Fuwei Films (Holdings Ratings Report

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

DS Healthcare Group ( DSKX) was another company that pushed the Consumer Non-Durables industry higher today. DS Healthcare Group was up $0.04 (3.1%) to $1.34 on average volume. Throughout the day, 10,637 shares of DS Healthcare Group exchanged hands as compared to its average daily volume of 10,900 shares. The stock ranged in a price between $1.25-$1.36 after having opened the day at $1.27 as compared to the previous trading day's close of $1.30.

DS Healthcare Group has a market cap of $22.0 million and is part of the consumer goods sector. Shares are down 46.9% year-to-date as of the close of trading on Thursday.

Highlights from TheStreet Ratings analysis on DSKX go as follows:

You can view the full analysis from the report here: DS Healthcare Group Ratings Report

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

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.

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