Dow Chemical Co (DOW): Today's Featured Chemicals Loser

Dow Chemical ( DOW) pushed the Chemicals industry lower today making it today's featured Chemicals loser. The industry as a whole closed the day down 0.9%. By the end of trading, Dow Chemical fell 32 cents (-1%) to $31.19 on light volume. Throughout the day, 4.7 million shares of Dow Chemical exchanged hands as compared to its average daily volume of 10.6 million shares. The stock ranged in price between $31.05-$31.51 after having opened the day at $31.37 as compared to the previous trading day's close of $31.51. Other company's within the Chemicals industry that declined today were: Tronox ( TROX), down 17.6%, Cereplast ( CERP), down 13.2%, Kronos Worldwide ( KRO), down 8.6%, and Solazyme ( SZYM), down 6.2%.

The Dow Chemical Company manufactures and supplies chemical products used as raw materials in the manufacture of customer products and services worldwide. Dow Chemical has a market cap of $37.85 billion and is part of the conglomerates sector. The company has a P/E ratio of 17, equal to the average conglomerates industry P/E ratio and below the S&P 500 P/E ratio of 17.7. Shares are up 9.6% year to date as of the close of trading on Friday. Currently there are five analysts that rate Dow Chemical a buy, three analysts rate it a sell, and eight rate it a hold.

TheStreet Ratings rates Dow Chemical as a buy. The company's strengths can be seen in multiple areas, such as its good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

On the positive front, Ceres ( CERE), up 9.9%, Lizhan Environmental ( LZEN), up 8.9%, Hawkins ( HWKN), up 2.9%, and KMG Chemicals ( KMG), up 2.8%, were all gainers within the chemicals industry with FMC Corporation ( FMC) being today's featured chemicals industry winner.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the chemicals industry could consider Materials Select Sector SPDR ( XLB) while those bearish on the chemicals industry could consider ProShares Short Basic Materials Fd ( SBM).
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