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The Chemicals industry as a whole closed the day down 2.5% versus the S&P 500, which was down 1.9%. Laggards within the Chemicals industry included

Methes Energies International

(

MEIL

), down 17.1%,

Metabolix

(

MBLX

), down 7.1%,

Flexible Solutions International

(

FSI

), down 2.6%,

NL Industries

(

NL

), down 4.2% and

Synthesis Energy Sys

(

SYMX

), down 4.0%.

TheStreet Ratings Group would like to highlight 3 stocks that pushed the industry lower today:

NL Industries

(

NL

) is one of the companies that pushed the Chemicals industry lower today. NL Industries was down $0.36 (4.2%) to $8.28 on light volume. Throughout the day, 6,069 shares of NL Industries exchanged hands as compared to its average daily volume of 16,200 shares. The stock ranged in price between $8.28-$8.73 after having opened the day at $8.73 as compared to the previous trading day's close of $8.65.

NL Industries, Inc., through its subsidiary, CompX International Inc., operates in the component products industry in the United States and internationally. NL Industries has a market cap of $418.7 million and is part of the basic materials sector. Shares are up 0.6% year-to-date as of the close of trading on Friday. Currently there are no analysts who rate NL Industries a buy, 1 analyst rates it a sell, and none rate it a hold.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreet Ratings rates

NL Industries

as a

sell

. The company's weaknesses can be seen in multiple areas, such as its poor profit margins and generally disappointing historical performance in the stock itself.

Highlights from TheStreet Ratings analysis on NL go as follows:

  • The gross profit margin for NL INDUSTRIES is currently lower than what is desirable, coming in at 34.22%. It has decreased from the same quarter the previous year. Despite the weak results of the gross profit margin, the net profit margin of 52.46% has significantly outperformed against the industry average.
  • NL has underperformed the S&P 500 Index, declining 15.43% from its price level of one year ago. The fact that the stock is now selling for less than others in its industry in relation to its current earnings is not reason enough to justify a buy rating at this time.
  • 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 Commercial Services & Supplies industry and the overall market, NL INDUSTRIES's return on equity significantly trails that of both the industry average and the S&P 500.
  • NL INDUSTRIES reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, NL INDUSTRIES swung to a loss, reporting -$1.13 versus $1.16 in the prior year. This year, the market expects an improvement in earnings ($0.55 versus -$1.13).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Commercial Services & Supplies industry. The net income increased by 333.8% when compared to the same quarter one year prior, rising from -$5.94 million to $13.89 million.

You can view the full analysis from the report here:

NL Industries 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.

At the close,

Flexible Solutions International

(

FSI

) was down $0.03 (2.6%) to $1.11 on light volume. Throughout the day, 61,666 shares of Flexible Solutions International exchanged hands as compared to its average daily volume of 114,000 shares. The stock ranged in price between $1.08-$1.14 after having opened the day at $1.13 as compared to the previous trading day's close of $1.14.

Flexible Solutions International, Inc., together with its subsidiaries, develops, manufactures, and markets specialty chemicals that slow the evaporation of water. Flexible Solutions International has a market cap of $14.9 million and is part of the basic materials sector. Shares are unchanged year-to-date as of the close of trading on Friday. Currently there are no analysts who rate Flexible Solutions International a buy, no analysts rate it a sell, and 1 rates it a hold.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreet Ratings rates

Flexible Solutions International

as a

hold

. 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 and reasonable valuation levels. However, as a counter to these strengths, we find that we feel that the company's cash flow from its operations has been weak overall.

Highlights from TheStreet Ratings analysis on FSI go as follows:

  • The revenue growth came in higher than the industry average of 9.4%. Since the same quarter one year prior, revenues rose by 29.2%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • FSI's debt-to-equity ratio is very low at 0.22 and is currently below that of the industry average, implying that there has been very successful management of debt levels. To add to this, FSI has a quick ratio of 1.72, which demonstrates the ability of the company to cover short-term liquidity needs.
  • The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Chemicals industry and the overall market on the basis of return on equity, FLEXIBLE SOLUTIONS INTL INC has underperformed in comparison with the industry average, but has exceeded that of the S&P 500.
  • FLEXIBLE SOLUTIONS INTL INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. However, we anticipate underperformance relative to this pattern in the coming year. During the past fiscal year, FLEXIBLE SOLUTIONS INTL INC turned its bottom line around by earning $0.14 versus -$0.08 in the prior year. For the next year, the market is expecting a contraction of 71.4% in earnings ($0.04 versus $0.14).
  • Net operating cash flow has significantly decreased to -$0.51 million or 985.96% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.

You can view the full analysis from the report here:

Flexible Solutions International 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.

Metabolix

(

MBLX

) was another company that pushed the Chemicals industry lower today. Metabolix was down $0.03 (7.1%) to $0.39 on light volume. Throughout the day, 50,541 shares of Metabolix exchanged hands as compared to its average daily volume of 128,300 shares. The stock ranged in price between $0.38-$0.49 after having opened the day at $0.41 as compared to the previous trading day's close of $0.42.

Metabolix has a market cap of $55.6 million and is part of the basic materials sector. Shares are unchanged year-to-date as of the close of trading on Friday. Currently there are no analysts who rate Metabolix a buy, no analysts rate it a sell, and 1 rates it a hold.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.