- AETI's debt-to-equity ratio is very low at 0.16 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.33, which illustrates the ability to avoid short-term cash problems.
- Net operating cash flow has significantly increased by 78.20% to -$0.47 million when compared to the same quarter last year. In addition, AMERICAN ELECTRIC TECH INC has also vastly surpassed the industry average cash flow growth rate of -25.43%.
- Regardless of the drop in revenue, the company managed to outperform against the industry average of 12.4%. Since the same quarter one year prior, revenues slightly dropped by 3.4%. The declining revenue appears to have seeped down to the company's bottom line, decreasing earnings per share.
- 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 Electrical Equipment industry. The net income has significantly decreased by 52.8% when compared to the same quarter one year ago, falling from $0.58 million to $0.27 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 Electrical Equipment industry and the overall market, AMERICAN ELECTRIC TECH INC's return on equity significantly trails that of both the industry average and the S&P 500.
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. All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 47.51 points (-0.3%) at 17,551 as of Tuesday, Aug. 4, 2015, 4:20 PM ET. The NYSE advances/declines ratio sits at 1,368 issues advancing vs. 1,676 declining with 154 unchanged. The Industrial Goods sector as a whole closed the day down 0.3% versus the S&P 500, which was down 0.2%. Top gainers within the Industrial Goods sector included India Globalization Capital ( IGC), up 6.0%, Comstock ( CHCI), up 14.7%, TAT Technologies ( TATT), up 4.5%, Intelligent Systems ( INS), up 2.8% and American Electric Technologies ( AETI), up 5.1%. TheStreet Ratings Group would like to highlight 3 stocks pushing the sector higher today: American Electric Technologies ( AETI) is one of the companies that pushed the Industrial Goods sector higher today. American Electric Technologies was up $0.23 (5.1%) to $4.73 on light volume. Throughout the day, 1,524 shares of American Electric Technologies exchanged hands as compared to its average daily volume of 4,300 shares. The stock ranged in a price between $4.27-$4.75 after having opened the day at $4.57 as compared to the previous trading day's close of $4.50. American Electric Technologies, Inc. provides power delivery solutions to the energy industry in the United States and internationally. The company operates through two segments, the Technical Products and Services (TP&S) and the Electrical and Instrumentation Construction (E&I). American Electric Technologies has a market cap of $36.5 million and is part of the materials & construction industry. Shares are down 18.6% year-to-date as of the close of trading on Monday. Currently there are no analysts who rate American Electric Technologies 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 American Electric Technologies as a hold. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and a generally disappointing performance in the stock itself. Highlights from TheStreet Ratings analysis on AETI go as follows: