5 Stocks Pushing The Industrial Goods Sector 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 Industrial Goods sector currently sits down 0.3% versus the S&P 500, which is down 0.1%. Top gainers within the sector include Sherwin-Williams Company ( SHW), up 6.2%, and Boeing ( BA), up 1.2%. On the negative front, top decliners within the sector include James Hardie Industries ( JHX), down 3.0%, Nidec Corporation ( NJ), down 2.3% and Fastenal Company ( FAST), down 1.0%.

TheStreet Ratings group would like to highlight 5 stocks pushing the sector higher today:

5. Allegheny Technologies ( ATI) is one of the companies pushing the Industrial Goods sector higher today. As of noon trading, Allegheny Technologies is up $1.47 (5.5%) to $28.24 on average volume Thus far, 944,273 shares of Allegheny Technologies exchanged hands as compared to its average daily volume of 1.6 million shares. The stock has ranged in price between $27.31-$28.30 after having opened the day at $27.73 as compared to the previous trading day's close of $26.77.

Allegheny Technologies Incorporated (ATI) engages in the production of specialty metals worldwide. It operates in three segments: High Performance Metals, Flat-Rolled Products, and Engineered Products. Allegheny Technologies has a market cap of $2.9 billion and is part of the industrial industry. The company has a P/E ratio of 16.6, below the S&P 500 P/E ratio of 17.7. Shares are down 44.2% year to date as of the close of trading on Friday. Currently there are 6 analysts that rate Allegheny Technologies a buy, no analysts rate it a sell, and 3 rate it a hold.

TheStreet Ratings rates Allegheny Technologies as a hold. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including poor profit margins, a generally disappointing performance in the stock itself and deteriorating net income. Get the full Allegheny Technologies Ratings Report now.

4. As of noon trading, Precision Castparts ( PCP) is up $9.78 (5.7%) to $181.11 on heavy volume Thus far, 1.0 million shares of Precision Castparts exchanged hands as compared to its average daily volume of 646,200 shares. The stock has ranged in price between $178.11-$182.40 after having opened the day at $178.11 as compared to the previous trading day's close of $171.33.

Precision Castparts Corp. manufactures and sells metal components and products worldwide. Precision Castparts has a market cap of $24.7 billion and is part of the industrial industry. The company has a P/E ratio of 18.8, above the S&P 500 P/E ratio of 17.7. Shares are up 3.3% year to date as of the close of trading on Friday. Currently there are 13 analysts that rate Precision Castparts a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Precision Castparts as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share and increase in net income. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full Precision Castparts Ratings Report now.

3. As of noon trading, Emerson Electric ( EMR) is up $0.24 (0.5%) to $50.39 on light volume Thus far, 692,122 shares of Emerson Electric exchanged hands as compared to its average daily volume of 3.8 million shares. The stock has ranged in price between $50.07-$50.49 after having opened the day at $50.20 as compared to the previous trading day's close of $50.15.

Emerson Electric Co. operates as a diversified technology company worldwide. It engages in designing and supplying products and technology, and delivering engineering services and solutions to industrial, commercial, and consumer markets. Emerson Electric has a market cap of $36.2 billion and is part of the industrial industry. The company has a P/E ratio of 15.1, below the S&P 500 P/E ratio of 17.7. Shares are up 6.8% year to date as of the close of trading on Friday. Currently there are 7 analysts that rate Emerson Electric a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates Emerson Electric as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, good cash flow from operations and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Emerson Electric Ratings Report now.

2. As of noon trading, Cummins ( CMI) is up $1.07 (1.1%) to $98.17 on light volume Thus far, 546,316 shares of Cummins exchanged hands as compared to its average daily volume of 2.4 million shares. The stock has ranged in price between $97.08-$98.42 after having opened the day at $97.60 as compared to the previous trading day's close of $97.10.

Cummins Inc. designs, manufactures, distributes, and services diesel and natural gas engines, and engine-related component products worldwide. It operates in four segments: Engine, Components, Power Generation, and Distribution. Cummins has a market cap of $18.4 billion and is part of the industrial industry. The company has a P/E ratio of 10.1, below the S&P 500 P/E ratio of 17.7. Shares are up 9.7% year to date as of the close of trading on Friday. Currently there are 7 analysts that rate Cummins a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Cummins 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 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 Cummins Ratings Report now.

1. As of noon trading, Deere ( DE) is up $1.07 (1.3%) to $85.36 on light volume Thus far, 815,924 shares of Deere exchanged hands as compared to its average daily volume of 3.8 million shares. The stock has ranged in price between $84.24-$85.50 after having opened the day at $84.44 as compared to the previous trading day's close of $84.29.

Deere & Company provides products and services primarily for agriculture and forestry worldwide. Deere has a market cap of $32.7 billion and is part of the industrial industry. The company has a P/E ratio of 11.1, below the S&P 500 P/E ratio of 17.7. Shares are up 9.0% year to date as of the close of trading on Friday. Currently there are 9 analysts that rate Deere a buy, 2 analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Deere as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, solid stock price performance, impressive record of earnings per share growth and increase in net income. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full Deere Ratings Report now.

If you are interested in one of these 5 stocks, 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).

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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