Vulcan Materials Company (VMC): Today's Featured Materials & Construction 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.

Vulcan Materials Company ( VMC) pushed the Materials & Construction industry higher today making it today's featured materials & construction winner. The industry as a whole closed the day up 1%. By the end of trading, Vulcan Materials Company rose $1.91 (3.4%) to $58.74 on heavy volume. Throughout the day, 1.3 million shares of Vulcan Materials Company exchanged hands as compared to its average daily volume of 750,100 shares. The stock ranged in a price between $56.55-$59 after having opened the day at $56.83 as compared to the previous trading day's close of $56.83. Other companies within the Materials & Construction industry that increased today were: DR Horton ( DHI), up 11.8%, Integrated Electrical Services ( IESC), up 8.5%, Skyline Corporation ( SKY), up 7.3%, and Beazer Homes USA ( BZH), up 5.6%.
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Vulcan Materials Company engages in the production and sale of construction aggregates, as well as asphalt mix, ready-mixed concrete, and cement primarily in the United States. The company operates in four segments: Aggregates, Concrete, Asphalt Mix, and Cement. Vulcan Materials Company has a market cap of $7.41 billion and is part of the industrial goods sector. Shares are up 9.9% year to date as of the close of trading on Monday. Currently there are four analysts that rate Vulcan Materials Company a buy, no analysts rate it a sell, and eight rate it a hold.

TheStreet Ratings rates Vulcan Materials Company as a hold. The company's strengths can be seen in multiple areas, such as its solid stock price performance, largely solid financial position with reasonable debt levels by most measures and notable return on equity. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, weak operating cash flow and poor profit margins.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the materials & construction industry could consider SPDR S&P Homebuilders ETF ( XHB) while those bearish on the materials & construction industry could consider ProShares Short Basic Materials Fd ( SBM).

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