NEW YORK (TheStreet) -- Shares of HD Supply (HDS) were gaining 5.9% to $34.35 on heavy trading volume Tuesday after the industrial equipment wholesale company beat analysts' estimates for earnings in the fiscal first quarter.
HD Supply reported earnings of 33 cents a share for the fiscal first quarter, above analysts' estimates of 29 cents a share for the quarter. Revenue grew 6.2% year over year to $2.22 billion in the quarter, in line with analysts' estimates.
Looking to the fiscal second quarter, HD Supply expects earnings of 60 cents to 66 cents a share and revenue of $2.5 billion to $2.55 billion for the quarter. Analysts expect the company to report earnings of 63 cents a share and revenue of $2.53 billion in the second quarter.
About 2.4 million shares of HD Supply were traded by 11:13 a.m. Tuesday, above the company's average trading volume of about 1.7 million shares a day.
TheStreet Ratings team rates HD SUPPLY HOLDINGS INC as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate HD SUPPLY HOLDINGS INC (HDS) a SELL. This is driven by multiple weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income and poor profit margins."
You can view the full analysis from the report here: HDS Ratings Report