McDermott International Inc (MDR): Today's Featured Materials & Construction Winner

McDermott International ( MDR) pushed the Materials & Construction industry higher today making it today's featured materials & construction winner. The industry as a whole closed the day down 0.2%. By the end of trading, McDermott International rose 22 cents (2%) to $11.28 on average volume. Throughout the day, 3.8 million shares of McDermott International exchanged hands as compared to its average daily volume of 4.1 million shares. The stock ranged in a price between $10.73-$11.36 after having opened the day at $10.73 as compared to the previous trading day's close of $11.06. Other companies within the Materials & Construction industry that increased today were: US Concrete ( USCR), up 10.3%, Guanwei Recycling ( GPRC), up 7.1%, Argan ( AGX), up 6.1%, and Energy Solutions ( ES), up 5.7%.

McDermott International, Inc. operates as an engineering, procurement, construction, and installation (EPCI) company worldwide. It focuses on designing and executing complex offshore oil and gas projects. McDermott International has a market cap of $2.65 billion and is part of the industrial goods sector. The company has a P/E ratio of 16.6, below the average materials & construction industry P/E ratio of 20.1 and below the S&P 500 P/E ratio of 17.7. Shares are up 17.8% year to date as of the close of trading on Tuesday. Currently there are 11 analysts that rate McDermott International a buy, one analyst rates it a sell, and one rates it a hold.

TheStreet Ratings rates McDermott International as a hold. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, attractive valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and a generally disappointing performance in the stock itself.

On the negative front, Goldfield ( GV), down 12.6%, Nobility Homes ( NOBH), down 6.8%, Heckmann ( HEK), down 4.6%, and Comstock ( CHCI), down 4.3%, were all losers within the materials & construction industry with Waste Management ( WM) being today's materials & construction industry loser.

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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