3 Stocks Driving The Specialty Retail 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.

Two out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading down 55.52 points (-0.3%) at 17,690 as of Friday, July 31, 2015, 4:20 PM ET. The NYSE advances/declines ratio sits at 1,938 issues advancing vs. 1,140 declining with 130 unchanged.

The Specialty Retail industry as a whole closed the day up 0.3% versus the S&P 500, which was down 0.2%. Top gainers within the Specialty Retail industry included Charles & Colvard ( CTHR), up 2.1%, Odyssey Marine Exploration ( OMEX), up 7.5%, U S Auto Parts Network ( PRTS), up 1.6%, Cencosud ( CNCO), up 2.1% and Rush ( RUSHB), up 2.0%.

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

U S Auto Parts Network ( PRTS) is one of the companies that pushed the Specialty Retail industry higher today. U S Auto Parts Network was up $0.04 (1.6%) to $2.28 on heavy volume. Throughout the day, 116,076 shares of U S Auto Parts Network exchanged hands as compared to its average daily volume of 58,800 shares. The stock ranged in a price between $2.27-$2.34 after having opened the day at $2.30 as compared to the previous trading day's close of $2.25.

U.S. Auto Parts Network, Inc., together with its subsidiaries, operates as an online retailer of automotive aftermarket parts and accessories primarily in the United States, Canada, and the Philippines. The company operates through two segments, Base USAP and AutoMD. U S Auto Parts Network has a market cap of $74.0 million and is part of the services sector. Shares are down 6.8% year-to-date as of the close of trading on Thursday. Currently there are 2 analysts who rate U S Auto Parts Network a buy, no analysts rate it a sell, and none rate it a hold.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

TheStreet Ratings rates U S Auto Parts Network as a sell. The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income, poor profit margins and weak operating cash flow.

Highlights from TheStreet Ratings analysis on PRTS go as follows:

  • 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 Internet & Catalog Retail industry. The net income has significantly decreased by 129.8% when compared to the same quarter one year ago, falling from $0.20 million to -$0.06 million.
  • The gross profit margin for US AUTO PARTS NETWORK INC is currently lower than what is desirable, coming in at 28.12%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -0.07% trails that of the industry average.
  • Net operating cash flow has decreased to $4.55 million or 44.11% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
  • The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Internet & Catalog Retail industry and the overall market, US AUTO PARTS NETWORK INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • This stock's share value has moved by only 26.29% over the past year. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.

You can view the full analysis from the report here: U S Auto Parts Network Ratings Report

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

At the close, Odyssey Marine Exploration ( OMEX) was up $0.03 (7.5%) to $0.40 on light volume. Throughout the day, 90,858 shares of Odyssey Marine Exploration exchanged hands as compared to its average daily volume of 268,100 shares. The stock ranged in a price between $0.37-$0.42 after having opened the day at $0.38 as compared to the previous trading day's close of $0.38.

Odyssey Marine Exploration, Inc., together with its subsidiaries, engages in the seafloor mineral exploration, and search and recovery of deep-ocean shipwrecks worldwide. Odyssey Marine Exploration has a market cap of $37.6 million and is part of the services sector. Shares are down 59.7% year-to-date as of the close of trading on Thursday. Currently there is 1 analyst who rates Odyssey Marine Exploration a buy, no analysts rate it a sell, and none rate it a hold.

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

TheStreet Ratings rates Odyssey Marine Exploration as a sell. Among the areas we feel are negative, one of the most important has been a generally disappointing historical performance in the stock itself.

Highlights from TheStreet Ratings analysis on OMEX go as follows:

  • OMEX's stock share price has done very poorly compared to where it was a year ago: Despite any rallies, the net result is that it is down by 70.68%, which is also worse that the performance of the S&P 500 Index. Investors have so far failed to pay much attention to the earnings improvements the company has managed to achieve over the last quarter. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.
  • OMEX, with its very weak revenue results, has greatly underperformed against the industry average of 3.4%. Since the same quarter one year prior, revenues plummeted by 79.7%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
  • ODYSSEY MARINE EXPLORATION has improved earnings per share by 8.3% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, ODYSSEY MARINE EXPLORATION reported poor results of -$0.32 versus -$0.14 in the prior year. This year, the market expects an improvement in earnings (-$0.20 versus -$0.32).
  • The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and the Professional Services industry average. The net income increased by 0.9% when compared to the same quarter one year prior, going from -$9.80 million to -$9.71 million.
  • Net operating cash flow has significantly increased by 57.63% to -$4.31 million when compared to the same quarter last year. In addition, ODYSSEY MARINE EXPLORATION has also vastly surpassed the industry average cash flow growth rate of 0.95%.

You can view the full analysis from the report here: Odyssey Marine Exploration Ratings Report

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

Charles & Colvard ( CTHR) was another company that pushed the Specialty Retail industry higher today. Charles & Colvard was up $0.03 (2.1%) to $1.44 on light volume. Throughout the day, 7,800 shares of Charles & Colvard exchanged hands as compared to its average daily volume of 26,200 shares. The stock ranged in a price between $1.35-$1.46 after having opened the day at $1.35 as compared to the previous trading day's close of $1.41.

Charles & Colvard, Ltd. manufactures, markets, and distributes moissanite jewels and finished jewelry featuring moissanite worldwide. Charles & Colvard has a market cap of $29.8 million and is part of the services sector. Shares are down 21.2% year-to-date as of the close of trading on Thursday. Currently there is 1 analyst who rates Charles & Colvard a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Charles & Colvard as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share.

Highlights from TheStreet Ratings analysis on CTHR go as follows:

  • 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 Textiles, Apparel & Luxury Goods industry. The net income has significantly decreased by 57.9% when compared to the same quarter one year ago, falling from -$1.06 million to -$1.68 million.
  • Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Textiles, Apparel & Luxury Goods industry and the overall market, CHARLES & COLVARD LTD's return on equity significantly trails that of both the industry average and the S&P 500.
  • Despite any intermediate fluctuations, we have only bad news to report on this stock's performance over the last year: it has tumbled by 27.41%, worse than the S&P 500's performance. Consistent with the plunge in the stock price, the company's earnings per share are down 60.00% compared to the year-earlier quarter. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.
  • CHARLES & COLVARD LTD 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, CHARLES & COLVARD LTD reported poor results of -$0.65 versus -$0.05 in the prior year. This year, the market expects an improvement in earnings (-$0.16 versus -$0.65).
  • 44.79% is the gross profit margin for CHARLES & COLVARD LTD which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of -20.04% is in-line with the industry average.

You can view the full analysis from the report here: Charles & Colvard Ratings Report

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE.

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.

More from Markets

Record Bull Market Poised to Run Further as Trump Frets Over Fed

Record Bull Market Poised to Run Further as Trump Frets Over Fed

Famed Chartist Marc Chaikin Gives Jim Cramer His Top Picks Wednesday Aug. 22

Famed Chartist Marc Chaikin Gives Jim Cramer His Top Picks Wednesday Aug. 22

Kardashian-Endorsed Ouai Likely Merger Fodder; Uber's C-Suite Takes Form - ICYMI

Kardashian-Endorsed Ouai Likely Merger Fodder; Uber's C-Suite Takes Form - ICYMI

Cohen Pleads Guilty, Manafort Found Guilty -- Any Market Impact?

Cohen Pleads Guilty, Manafort Found Guilty -- Any Market Impact?

Azealia Banks Confirms Elon Musk Smokes Weed

Azealia Banks Confirms Elon Musk Smokes Weed