Tenaris SA (TS): Today's Featured Metals & Mining 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.

Tenaris ( TS) pushed the Metals & Mining industry higher today making it today's featured metals & mining winner. The industry as a whole closed the day down 1%. By the end of trading, Tenaris rose 72 cents (1.8%) to $40.79 on average volume. Throughout the day, 1.2 million shares of Tenaris exchanged hands as compared to its average daily volume of 1.1 million shares. The stock ranged in a price between $40.30-$40.92 after having opened the day at $40.45 as compared to the previous trading day's close of $40.07. Other companies within the Metals & Mining industry that increased today were: China Shen Zhou Mining & Resources ( SHZ), up 10.3%, Crosshair Energy ( CXZ), up 5.9%, Gold Standard Ventures ( GSV), up 4.6%, and Golden Minerals ( AUMN), up 4.1%.
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Tenaris S.A., through its subsidiaries, engages in the manufacture and sale of steel pipe products. Tenaris has a market cap of $23.4 billion and is part of the basic materials sector. The company has a P/E ratio of 35.1, above the S&P 500 P/E ratio of 17.7. Shares are down 5.4% year to date as of the close of trading on Tuesday. Currently there are four analysts that rate Tenaris a buy, no analysts rate it a sell, and seven rate it a hold.

TheStreet Ratings rates Tenaris 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, notable return on equity, expanding profit margins and good cash flow from operations. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results.

On the negative front, Cliffs Natural Resources ( CLF), down 20%, Coeur D'Alene Mines Corporation ( CDE), down 10.3%, China Natural Resources ( CHNR), down 9.7%, and Uranium Resources ( URRE), down 9.3%, were all laggards within the metals & mining industry with Walter Energy ( WLT) being today's metals & mining industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the metals & mining industry could consider SPDR S&P Metals & Mining ETF ( XME) while those bearish on the metals & mining industry could consider PowerShares DB Base Metals Sht ETN ( BOS).

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