Mohawk Industries Inc. (MHK): Today's Featured Industrial 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.

Mohawk Industries ( MHK) pushed the Industrial industry lower today making it today's featured Industrial laggard. The industry as a whole was unchanged today. By the end of trading, Mohawk Industries fell $2.93 (-3.4%) to $82.94 on average volume. Throughout the day, 567,000 shares of Mohawk Industries exchanged hands as compared to its average daily volume of 500,000 shares. The stock ranged in price between $82.77-$86.24 after having opened the day at $86 as compared to the previous trading day's close of $85.87. Other companies within the Industrial industry that declined today were: NF Energy Saving ( NFEC), down 11.2%, China Valves Technology ( CVVT), down 11.1%, Highpower International ( HPJ), down 8.6%, and China Recycling Energy Corporation ( CREG), down 7.8%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Mohawk Industries, Inc., together with its subsidiaries, engages in the production and sale of floor covering products for residential and commercial markets for remodeling and new construction primarily in the United States and Europe. Mohawk Industries has a market cap of $5.93 billion and is part of the industrial goods sector. The company has a P/E ratio of 26.2, above the S&P 500 P/E ratio of 17.7. Shares are up 43.4% year to date as of the close of trading on Tuesday. Currently there are four analysts that rate Mohawk Industries a buy, one analyst rates it a sell, and four rate it a hold.

TheStreet Ratings rates Mohawk Industries 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, solid stock price performance, compelling growth in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins.

On the positive front, Ecotality ( ECTY), up 18.2%, Hydrogenics Corporation ( HYGS), up 13.3%, Servotronics ( SVT), up 4.1%, and Cummins ( CMI), up 4.1%, were all gainers within the industrial industry with General Electric ( GE) being today's featured industrial industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the industrial industry could consider SPDR Dow Jones Industrial Average ( DIA) while those bearish on the industrial industry could consider ProShares UltraShort Industrials ( SIJ).

Holiday Special: Subscribe to Action Alerts PLUS to see how Jim Cramer trades his $2.5 Million+ portfolio for 51% off the list price. Your first 14-days are FREE: Sign up today to get e-mail alerts before every trade.
null

If you liked this article you might like

5 Housing Stocks You Must Immediately Buy

Cramer: These Sectors Look Bullish (Part III)

Cramer: There Are Powerful Themes in Several Bull Markets

Market Recon: The Tax Reform Is Just Ordinary Negotiation on Steroids

Analysts' Actions -- Lululemon, L Brands, Masco, Under Armour and More