USG Corp (USG): Today's Featured Industrial Goods 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.

USG ( USG) pushed the Industrial Goods sector higher today making it today's featured industrial goods winner. The sector as a whole closed the day down 0.4%. By the end of trading, USG rose 36 cents (1.3%) to $28.73 on average volume. Throughout the day, 2.2 million shares of USG exchanged hands as compared to its average daily volume of 1.8 million shares. The stock ranged in a price between $28.43-$29.46 after having opened the day at $28.66 as compared to the previous trading day's close of $28.37. Other companies within the Industrial Goods sector that increased today were: China Valves Technology ( CVVT), up 10%, Skullcandy ( SKUL), up 7.5%, Caesarstone Sdot-Yam ( CSTE), up 7%, and Vertex Energy ( VTNR), up 5%.
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USG Corporation, through its subsidiaries, engages in the manufacture and distribution of building materials worldwide. The company operates in three reportable segments: North American Gypsum, Worldwide Ceilings, and Building Products Distribution. USG has a market cap of $3.08 billion and is part of the materials & construction industry. Shares are up 1.1% year to date as of the close of trading on Monday. Currently there are five analysts that rate USG a buy, no analysts rate it a sell, and seven rate it a hold.

TheStreet Ratings rates USG as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, poor profit margins and generally higher debt management risk.

On the negative front, WSI Industries ( WSCI), down 20.9%, Intellicheck Mobilisa ( IDN), down 16.7%, Euro Tech Holdings Company ( CLWT), down 13.1%, and China BAK Battery ( CBAK), down 9.2%, were all laggards within the industrial goods sector with Deere ( DE) being today's industrial goods sector laggard.

For investors not wanting singular stock exposure, 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).

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