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

Tam ( TAM) pushed the Transportation industry higher today making it today's featured transportation winner. The industry as a whole closed the day down 1.6%. By the end of trading, Tam rose 54 cents (2.3%) to $24.29 on light volume. Throughout the day, 354,298 shares of Tam exchanged hands as compared to its average daily volume of 738,000 shares. The stock ranged in a price between $23.37-$24.90 after having opened the day at $23.80 as compared to the previous trading day's close of $23.75. Other companies within the Transportation industry that increased today were: Eagle Bulk Shipping ( EGLE), up 31.2%, Newlead Holdings ( NEWL), up 4%, US Airways Group ( LCC), up 3.4%, and Globus Maritime ( GLBS), up 3.1%.

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 $3.68 billion and is part of the services sector. The company has a P/E ratio of 14.4, below the S&P 500 P/E ratio of 17.7. Shares are up 20.5% year to date as of the close of trading on Wednesday. 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 negative front, Swift Transportation ( SWFT), down 8.5%, TOP Ships ( TOPS), down 8.5%, Quality Distribution ( QLTY), down 7.5%, and Roadrunner Transportation Systems ( RRTS), down 7.4%, were all losers within the transportation industry with United Parcel Service Inc (UPS) Class B ( UPS) being today's transportation industry loser.

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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