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.

Trade-Ideas LLC identified TAL International Group ( TAL) as a "dead cat bounce" (down big yesterday but up big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified TAL International Group as such a stock due to the following factors:

  • TAL has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $14.2 million.
  • TAL has traded 72,774 shares today.
  • TAL is up 3.2% today.
  • TAL was down 13.7% yesterday.

EXCLUSIVE OFFER: Get the inside scoop on opportunities in TAL with the Ticky from Trade-Ideas. See the FREE profile for TAL NOW at Trade-Ideas

More details on TAL:

TAL International Group, Inc., together with its subsidiaries, leases intermodal transportation equipment and provides maritime container management services worldwide. The company operates in two segments, Equipment Leasing and Equipment Trading. The stock currently has a dividend yield of 10.8%. TAL has a PE ratio of 8. Currently there are 2 analysts that rate TAL International Group a buy, 1 analyst rates it a sell, and 4 rate it a hold.

The average volume for TAL International Group has been 274,800 shares per day over the past 30 days. TAL International Group has a market cap of $889.9 million and is part of the services sector and diversified services industry. The stock has a beta of 1.54 and a short float of 7.7% with 3.62 days to cover. Shares are down 47.3% year-to-date as of the close of trading on Thursday.

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.

TheStreetRatings.com Analysis:

TheStreet Quant Ratings rates TAL International Group as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and generally higher debt management risk.

Highlights from the ratings report include:
  • Despite its growing revenue, the company underperformed as compared with the industry average of 4.5%. Since the same quarter one year prior, revenues slightly increased by 2.3%. 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.
  • Net operating cash flow has slightly increased to $111.89 million or 7.81% when compared to the same quarter last year. Despite an increase in cash flow, TAL INTERNATIONAL GROUP INC's cash flow growth rate is still lower than the industry average growth rate of 40.15%.
  • The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed compared to the Trading Companies & Distributors industry average, but is greater than that of the S&P 500. The net income has decreased by 9.2% when compared to the same quarter one year ago, dropping from $29.36 million to $26.67 million.
  • The debt-to-equity ratio is very high at 4.77 and currently higher than the industry average, implying increased risk associated with the management of debt levels within the company.

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.