Stock on Watch: TheStreet, Inc. (TST)

Company Profile:

TheStreet, Inc., a digital financial media company, provides business and financial news, investing ideas, and analysis to personal and institutional investors worldwide. The Company’s collection of digital services provides users, subscribers and advertisers with a range of content and tools through a range of online, social media, tablet and mobile channels. It offers the tools to make decisions about earning, investing, saving and spending money. It provides multimedia coverage of the financial markets, economy, industry trends, investment and financial planning. TheStreet, Inc. was founded in 1996 and is based in New York, New York.

Recent News:

On Aug. 06, TheStreet, Inc.reported Q2 EPS of ($0.02), $0.02 better than the analyst estimate of ($0.04). Revenue for the quarter came in at $17.1 million versus the consensus estimate of $16.75 million.

Subscription Services revenue in the second quarter was $14.0 million, an increase of 21% compared to the prior year period primarily due to revenue from BoardEx which was acquired on October 31, 2014.

Fundamental Analysis:

Ninestocks analyzes several different financial aspects: Growth, Profitability, solvency and efficiency.

Growth – Measures the growth of both the company’s income statement and cash flow.

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Profitability – Measures the historical price movement of the stock.

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Solvency – Measures the solvency of the company based on several ratios.

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Efficiency – Measures the strength and historic growth of a company’s return on invested capital.

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Conclusion:

TST’s strengths can be seen in its strong solvency and efficiency. Technical indicators signal the bullish signs, as there is a bullish cross in MACD and Stochastic Oscillator. RSI is increasing to 51.71. The current P/BV ratio indicates it is undervalued compared to the average P/BV ratio of the industry and the sector. We rate TheStreet, Inc. (TST) a BUY.