3 Stocks Pushing The Chemicals Industry Higher

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

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 20 points (-0.2%) at 12,795 as of Monday, Nov. 12, 2012, 11:49 AM ET. The NYSE advances/declines ratio sits at 1,283 issues advancing vs. 1,555 declining with 129 unchanged.

The Chemicals industry currently is unchanged today versus the S&P 500, which is down 0.1%. A company within the industry that increased today was Valhi Incorporated ( VHI), up 4.1%.

TheStreet Ratings group would like to highlight 3 stocks pushing the industry higher today:

3. Terra Nitrogen Company L.P ( TNH) is one of the companies pushing the Chemicals industry higher today. As of noon trading, Terra Nitrogen Company L.P is up $4.50 (2.0%) to $231.00 on average volume Thus far, 14,240 shares of Terra Nitrogen Company L.P exchanged hands as compared to its average daily volume of 22,200 shares. The stock has ranged in price between $226.00-$233.48 after having opened the day at $226.00 as compared to the previous trading day's close of $226.50.

Terra Nitrogen Company, L.P. engages in the production and sale of nitrogen fertilizer products. It primarily offers anhydrous ammonia and urea ammonium nitrate solutions. Terra Nitrogen GP Inc. serves as the general partner of the company. Terra Nitrogen Company L.P has a market cap of $4.2 billion and is part of the basic materials sector. The company has a P/E ratio of 13.8, below the S&P 500 P/E ratio of 17.7. Shares are up 34.6% year to date as of the close of trading on Friday.

TheStreet Ratings rates Terra Nitrogen Company L.P as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, largely solid financial position with reasonable debt levels by most measures, notable return on equity and expanding profit margins. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results. Get the full Terra Nitrogen Company L.P Ratings Report now.

2. As of noon trading, Kronos Worldwide ( KRO) is up $1.34 (10.6%) to $14.01 on heavy volume Thus far, 753,862 shares of Kronos Worldwide exchanged hands as compared to its average daily volume of 591,300 shares. The stock has ranged in price between $12.66-$14.12 after having opened the day at $12.78 as compared to the previous trading day's close of $12.67.

Kronos Worldwide, Inc. engages in the production and marketing of titanium dioxide pigments under the Kronos brand name primarily in North America and Europe. Kronos Worldwide has a market cap of $1.5 billion and is part of the basic materials sector. The company has a P/E ratio of 5.6, below the S&P 500 P/E ratio of 17.7. Shares are down 29.8% year to date as of the close of trading on Friday. Currently there is 1 analyst that rates Kronos Worldwide a buy, no analysts rate it a sell, and 3 rate it a hold.

TheStreet Ratings rates Kronos Worldwide as a buy. 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 notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Kronos Worldwide Ratings Report now.

1. As of noon trading, CF Industries Holdings ( CF) is up $1.55 (0.8%) to $197.59 on light volume Thus far, 229,713 shares of CF Industries Holdings exchanged hands as compared to its average daily volume of 964,700 shares. The stock has ranged in price between $196.49-$198.28 after having opened the day at $196.88 as compared to the previous trading day's close of $196.04.

CF Industries Holdings, Inc., through its subsidiary, CF Industries, Inc., manufactures and distributes nitrogen and phosphate fertilizer products, serving agricultural and industrial customers worldwide. It operates in two segments, Nitrogen and Phosphate. CF Industries Holdings has a market cap of $12.3 billion and is part of the basic materials sector. The company has a P/E ratio of 7.1, below the S&P 500 P/E ratio of 17.7. Shares are up 35.0% year to date as of the close of trading on Friday. Currently there are 12 analysts that rate CF Industries Holdings a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates CF Industries Holdings as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, 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 shows weak operating cash flow. Get the full CF Industries Holdings Ratings Report now.

If you are interested in one of these 3 stocks, 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).

A reminder about TheStreet Ratings group: 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.
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