Sangamo Biosciences (SGMO) Upgraded From Sell to Hold

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 or Stephanie Link. aTheStreet Ratings quantitative algorithm evaluates over 4,300 stocks on a daily basis by 32 different data factors and assigns a unique buy, sell, or hold recommendation on each stock. aClick here to learn more. NEW YORK (TheStreet) -- Sangamo Biosciencesa has been upgraded by TheStreet Ratings from Sell to Hold with a ratings score of C-. aTheStreet Ratings Team has this to say about their recommendation: "We rate SANGAMO BIOSCIENCES INC (SGMO) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and notable return on equity. However, as a counter to these strengths, we find that net income has been generally deteriorating over time." Must Read: Warren Buffett's 25 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. Highlights from the analysis by TheStreet Ratings Team goes as follows: SGMO's very impressive revenue growth greatly exceeded the industry average of 41.2%. Since the same quarter one year prior, revenues leaped by 117.6%. This growth in revenue does not appear to have trickled down to the company's bottom line, displaying stagnant earnings per share. Compared to where it was a year ago today, the stock is now trading at a higher level, regardless of the company's weak earnings results. Despite the fact that it has already risen in the past year, there is currently no conclusive evidence that warrants the purchase or sale of this stock. SANGAMO BIOSCIENCES INC reported flat earnings per share in the most recent quarter. The company has reported a trend of declining earnings per share over the past year. However, the consensus estimate suggests that this trend should reverse in the coming year. During the past fiscal year, SANGAMO BIOSCIENCES INC reported poor results of -$0.47 versus -$0.43 in the prior year. This year, the market expects an improvement in earnings (-$0.41 versus -$0.47). The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Biotechnology industry and the overall market, SANGAMO BIOSCIENCES INC's return on equity significantly trails that of both the industry average and the S&P 500. 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 Biotechnology industry. The net income has decreased by 22.8% when compared to the same quarter one year ago, dropping from -$6.15 million to -$7.55 million. You can view the full analysis from the report here: SGMO Ratings Report STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

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