Rockwell Collins Inc. (COL): Today's Featured Aerospace/Defense 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.

Rockwell Collins ( COL) pushed the Aerospace/Defense industry higher today making it today's featured aerospace/defense winner. The industry as a whole closed the day down 0.8%. By the end of trading, Rockwell Collins rose 69 cents (1.3%) to $54.41 on heavy volume. Throughout the day, 1.9 million shares of Rockwell Collins exchanged hands as compared to its average daily volume of 990,500 shares. The stock ranged in a price between $53.68-$54.83 after having opened the day at $53.74 as compared to the previous trading day's close of $53.72. Other companies within the Aerospace/Defense industry that increased today were: AerCap Holdings N.V ( AER), up 4.2%, Sifco Industries ( SIF), up 3.7%, Edac Technologies Corporation ( EDAC), up 2.8%, and LMI Aerospace ( LMIA), up 1.7%.
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Rockwell Collins, Inc. designs, produces, and supports communications and aviation electronics for commercial and military customers worldwide. It operates in two segments, Government Systems and Commercial Systems. Rockwell Collins has a market cap of $7.68 billion and is part of the industrial goods sector. The company has a P/E ratio of 13, below the S&P 500 P/E ratio of 17.7. Shares are down 2.4% year to date as of the close of trading on Wednesday. Currently there are 11 analysts that rate Rockwell Collins a buy, one analyst rates it a sell, and four rate it a hold.

TheStreet Ratings rates Rockwell Collins as a buy. The company's strengths can be seen in multiple areas, such as its notable return on equity, growth in earnings per share and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the negative front, Astrotech Corporation ( ASTC), down 5.9%, Smith & Wesson Holding Corporation ( SWHC), down 5.1%, CAE ( CAE), down 3.2%, and Astronics Corporation ( ATRO), down 3.1%, were all laggards within the aerospace/defense industry with TransDigm Group ( TDG) being today's aerospace/defense industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the aerospace/defense industry could consider iShares DJ US Aerospace & Def Idx ( ITA) while those bearish on the aerospace/defense industry could consider ProShares Short Dow 30 ( DOG).

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