NEW YORK (TheStreet) -- Shares of USG (USG) were slumping on heavy trading volume mid-afternoon Tuesday after the company posted lower-than-expected revenue for the 2016 third quarter.

Before today's market open, the Chicago-based manufacturer of building materials reported revenue of $767 million, below analysts' estimates of $787 million.

Adjusted earnings of 46 cents per diluted share topped analysts' forecasts of 42 cents per share.

USG said it expects to close the sale of its L&W supply business for $670 million on October 31 and intends to use the proceeds from the sale to retire debt.

More than 2.26 million of the company's shares changed hands so far today, above its average 30-day volume of 1.82 million shares.

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Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.

The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels and good cash flow from operations.

But the team also finds weaknesses including unimpressive growth in net income, poor profit margins and feeble growth in the company's earnings per share.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: USG

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