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Warnaco Group Inc. (WRC): Today's Featured Consumer Goods Loser

Warnaco Group Inc (WRC) pushed the Consumer Goods sector lower today making it today's featured Consumer Goods loser. The sector as a whole closed the day up 0.6%. By the end of trading, Warnaco Group Inc fell 34 cents (-0.7%) to $48.27 on light volume. Throughout the day, 519,723 shares of Warnaco Group Inc exchanged hands as compared to its average daily volume of 1.1 million shares. The stock ranged in price between $47.93-$49.76 after having opened the day at $49.75 as compared to the previous trading day's close of $48.61. Other company's within the Consumer Goods sector that declined today were: Green Mountain Coffee Roasters Inc (GMCR), down 39%, Primo Water Corporation (PRMW), down 33.2%, Mad Catz Interactive Inc (MCZ), down 16%, and Coffee Holding Company Inc (JVA), down 10.8%.

The Warnaco Group, Inc., together with its subsidiaries, designs, sources, markets, licenses, and distributes a range of intimate apparel, sportswear, and swimwear worldwide. Warnaco Group Inc has a market cap of $2.06 billion and is part of the consumer non-durables industry. The company has a P/E ratio of 13.7, below the average consumer non-durables industry P/E ratio of 14.9 and below the S&P 500 P/E ratio of 17.7. Shares are down 11.7% year to date as of the close of trading on Wednesday.

TheStreet Ratings rates Warnaco Group as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, compelling growth in net income and attractive valuation levels. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

On the positive front, China Shengda Packaging Group Inc (CPGI), up 17.9%, Orchids Paper Products Company (TIS), up 15.2%, Cycle Country Accessories Corporation (ATC), up 13%, and Industrie Natuzzi (NTZ), up 12.7%, were all gainers within the consumer goods sector with Kraft Foods Inc (KFT) being today's featured consumer goods sector winner.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the consumer goods sector could consider iShares Dow Jones US Cons Goods (IYK) while those bearish on the consumer goods sector could consider ProShares Ultra Sht Consumer Goods (SZK).

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