Ingersoll-Rand PLC (IR): Today's Featured Industrial Goods Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Ingersoll-Rand ( IR) pushed the Industrial Goods sector higher today making it today's featured industrial goods winner. The sector as a whole closed the day up 0.6%. By the end of trading, Ingersoll-Rand rose 75 cents (1.7%) to $45.64 on average volume. Throughout the day, 2.7 million shares of Ingersoll-Rand exchanged hands as compared to its average daily volume of 2.9 million shares. The stock ranged in a price between $45.12-$46.07 after having opened the day at $45.12 as compared to the previous trading day's close of $44.89. Other companies within the Industrial Goods sector that increased today were: JinkoSolar ( JKS), up 15.6%, Ballard Power Systems ( BLDP), up 8.8%, China Ming Yang Wind Power Group ( MY), up 7.1%, and CUI Global ( CUI), up 6.3%.
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Ingersoll-Rand Public Limited Company engages in the design, manufacture, sale, and service of a diverse portfolio of industrial and commercial products in the United States and internationally. Ingersoll-Rand has a market cap of $13.79 billion and is part of the industrial industry. The company has a P/E ratio of 18, below the average industrial industry P/E ratio of 18.3 and above the S&P 500 P/E ratio of 17.7. Shares are up 46.8% year to date as of the close of trading on Wednesday. Currently there are seven analysts that rate Ingersoll-Rand a buy, one analyst rates it a sell, and nine rate it a hold.

TheStreet Ratings rates Ingersoll-Rand as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, compelling growth in net income, attractive valuation levels, largely solid financial position with reasonable debt levels by most measures and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the industrial goods sector could consider Industrial Select Sector SPDR ( XLI) while those bearish on the industrial goods sector could consider ProShares Short Dow 30 ( DOG).

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