Teck Resources Ltd (TCK): Today's Featured Metals & Mining Laggard

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.

Teck Resources ( TCK) pushed the Metals & Mining industry lower today making it today's featured Metals & Mining laggard. The industry as a whole closed the day down 0.5%. By the end of trading, Teck Resources fell 79 cents (-2.5%) to $31.14 on light volume. Throughout the day, 1.5 million shares of Teck Resources exchanged hands as compared to its average daily volume of 2.4 million shares. The stock ranged in price between $31.06-$32.16 after having opened the day at $31.98 as compared to the previous trading day's close of $31.93. Other companies within the Metals & Mining industry that declined today were: Prospect Global Resources ( PGRX), down 17.8%, Yanzhou Coal Mining Company ( YZC), down 11.5%, AMCOL International Corporation ( ACO), down 7.5%, and Grupo Simec S.A.B. de C.V ( SIM), down 5.6%.
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Teck Resources Limited operates as a diversified mining, mineral processing, and metallurgical company. It is involved in exploring, developing, smelting, refining, safety, environmental protecting, product stewardship, recycling, and researching activities. Teck Resources has a market cap of $18.2 billion and is part of the basic materials sector. The company has a P/E ratio of 9.8, above the average metals & mining industry P/E ratio of 9.6 and below the S&P 500 P/E ratio of 17.7. Shares are down 10.3% year to date as of the close of trading on Thursday. Currently there are eight analysts that rate Teck Resources a buy, one analyst rates it a sell, and four rate it a hold.

TheStreet Ratings rates Teck Resources 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 unimpressive growth in net income, disappointing return on equity and a generally disappointing performance in the stock itself.

On the positive front, Cloud Peak Energy ( CLD), up 11.6%, Arch Coal ( ACI), up 10.7%, Crosshair Energy ( CXZ), up 7.1%, and Charles & Colvard ( CTHR), up 6.4%, were all gainers within the metals & mining industry with Alpha Natural Resources ( ANR) being today's featured metals & mining industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the metals & mining industry could consider SPDR S&P Metals & Mining ETF ( XME) while those bearish on the metals & mining industry could consider PowerShares DB Base Metals Sht ETN ( BOS).

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