Fastenal Company

(

FAST

) pushed the Materials & Construction industry lower today making it today's featured Materials & Construction loser. The industry as a whole closed the day down 3.3%. By the end of trading, Fastenal Company fell 76 cents (-1.9%) to $38.63 on light volume. Throughout the day, 1.5 million shares of Fastenal Company exchanged hands as compared to its average daily volume of 2.8 million shares. The stock ranged in price between $38.57-$39.28 after having opened the day at $39.09 as compared to the previous trading day's close of $39.39. Other company's within the Materials & Construction industry that declined today were:

Guanwei Recycling

(

GPRC

), down 11%,

Skyline Corporation

(

SKY

), down 10.3%,

Headwaters Inc

(

HW

), down 8.8%, and

Cemex S.A.B. de C.V

(

CX

), down 8.5%.

The Company Is Engaged As A Wholesaler And Retailer Of Industrial And Construction Supplies. Fastenal Company has a market cap of $11.63 billion and is part of the

industrial goods

sector. The company has a P/E ratio of 34.9, above the average materials & construction industry P/E ratio of 34.6 and above the S&P 500 P/E ratio of 17.7. Shares are up 31.5% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Fastenal as a

buy

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, expanding profit margins and good cash flow from operations. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the materials & construction industry could consider

SPDR S&P Homebuilders ETF

(

XHB

) while those bearish on the materials & construction industry could consider

ProShares Short Basic Materials Fd

(

SBM

).

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