Dresser-Rand Group Inc. (DRC): Today's Favorite Industrial Gainer

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.

Dresser-Rand Group ( DRC) pushed the Industrial industry higher today making it today's featured industrial winner. The industry as a whole closed the day down 0.3%. By the end of trading, Dresser-Rand Group rose 98 cents (1.6%) to $61.23 on average volume. Throughout the day, 433,027 shares of Dresser-Rand Group exchanged hands as compared to its average daily volume of 513,500 shares. The stock ranged in a price between $60.13-$61.35 after having opened the day at $60.41 as compared to the previous trading day's close of $60.25. Other companies within the Industrial industry that increased today were: ZBB Energy Corporation ( ZBB), up 16.7%, Chicago Rivet & Machine ( CVR), up 8.8%, Energy Recovery ( ERII), up 7.1%, and Altair Nanotechnologies ( ALTI), up 6.8%.
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Dresser-Rand Group Inc., together with its subsidiaries, engages in the design, manufacture, sale, and service of engineered rotating equipment solutions to the oil, gas, chemical, petrochemical, process, power generation, military, and other industries worldwide. Dresser-Rand Group has a market cap of $4.56 billion and is part of the industrial goods sector. The company has a P/E ratio of 25.6, above the S&P 500 P/E ratio of 17.7. Shares are up 7.1% year to date as of the close of trading on Friday. Currently there are seven analysts that rate Dresser-Rand Group a buy, no analysts rate it a sell, and four rate it a hold.

TheStreet Ratings rates Dresser-Rand Group as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, good cash flow from operations, solid stock price performance and notable return on equity. We feel these strengths outweigh the fact that the company shows low profit margins.

On the negative front, China Valves Technology ( CVVT), down 9.3%, Broadwind Energy ( BWEN), down 8.2%, Continental Materials Corporation ( CUO), down 8.1%, and Dixie Group ( DXYN), down 7.7%, were all laggards within the industrial industry with Precision Castparts ( PCP) being today's industrial industry laggard.

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).

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