Tam SA (TAM): Today's Featured Transportation Loser

Tam ( TAM) pushed the Transportation industry lower today making it today's featured Transportation loser. The industry as a whole closed the day down 1.7%. By the end of trading, Tam fell 84 cents (-3.5%) to $23.16 on heavy volume. Throughout the day, 1.3 million shares of Tam exchanged hands as compared to its average daily volume of 557,700 shares. The stock ranged in price between $23.02-$23.49 after having opened the day at $23.04 as compared to the previous trading day's close of $24. Other company's within the Transportation industry that declined today were: Grupo TMM S.A ( TMM), down 12.4%, FreeSeas ( FREE), down 12.2%, Overseas Shipholding Group ( OSG), down 8.4%, and Gol Intelligent Airlines ( GOL), down 8.4%.

TAM S.A. provides passengers and cargo air transportation services in Brazil and internationally. It also engages in the aircraft acquisition, financing, and debt issuance activities. Tam has a market cap of $3.74 billion and is part of the services sector. The company has a P/E ratio of 14.7, below the S&P 500 P/E ratio of 17.7. Shares are up 24% year to date as of the close of trading on Friday. Currently there is one analyst that rates Tam a buy, one analyst rates it a sell, and three rate it a hold.

TheStreet Ratings rates Tam as a hold. The company's strengths can be seen in multiple areas, such as its good cash flow from operations and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally poor debt management and disappointing return on equity.

On the positive front, Newlead Holdings ( NEWL), up 5.8%, DS Torm ( TRMD), up 3.9%, YRC Worldwide ( YRCW), up 3.3%, and International Shipholding Corporation ( ISH), up 2.1%, were all gainers within the transportation industry with Delta Air Lines ( DAL) being today's featured transportation industry winner.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the transportation industry could consider iShares Dow Jones Transportation ( IYT) while those bearish on the transportation industry could consider ProShares UltraShort Industrials ( SIJ).

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