Today's Stocks Driving Success For The Specialty Retail Industry

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

All three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading up 3 points (0.0%) at 14,977 as of Monday, May 6, 2013, 12:49 PM ET. The NYSE advances/declines ratio sits at 1,675 issues advancing vs. 1,221 declining with 157 unchanged.

The Specialty Retail industry currently sits up 0.1% versus the S&P 500, which is up 0.2%. A company within the industry that increased today was Staples ( SPLS), up 0.96. On the negative front, top decliners within the industry include Netflix ( NFLX), down 0.93, and Luxottica Group ( LUX), down 0.40.

TheStreet Ratings group would like to highlight 3 stocks pushing the industry higher today:

3. Penske Automotive Group ( PAG) is one of the companies pushing the Specialty Retail industry higher today. As of noon trading, Penske Automotive Group is up $0.34 (1.08) to $31.73 on average volume Thus far, 184,333 shares of Penske Automotive Group exchanged hands as compared to its average daily volume of 408,600 shares. The stock has ranged in price between $31.24-$31.81 after having opened the day at $31.39 as compared to the previous trading day's close of $31.39.

Penske Automotive Group, Inc. operates as an automotive retailer. The company operates in two segments, Retail and Other. It sells new and used motor vehicles of approximately 41 brands. Penske Automotive Group has a market cap of $2.8 billion and is part of the services sector. The company has a P/E ratio of 14.0, below the S&P 500 P/E ratio of 17.7. Shares are up 4.3% year to date as of the close of trading on Friday. Currently there are 6 analysts that rate Penske Automotive Group a buy, no analysts rate it a sell, and 3 rate it a hold.

TheStreet Ratings rates Penske Automotive Group as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share, increase in net income and revenue growth. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Penske Automotive Group Ratings Report now.

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2. As of noon trading, Cabela's ( CAB) is up $0.98 (1.51) to $65.69 on average volume Thus far, 279,822 shares of Cabela's exchanged hands as compared to its average daily volume of 712,400 shares. The stock has ranged in price between $64.18-$65.91 after having opened the day at $64.70 as compared to the previous trading day's close of $64.71.

Cabela's Incorporated, together with its subsidiaries, operates as a specialty retailer and direct marketer of hunting, fishing, camping, and related outdoor merchandise. The company operates through three segments: Retail, Direct, and Financial Services. Cabela's has a market cap of $4.5 billion and is part of the services sector. The company has a P/E ratio of 23.5, above the S&P 500 P/E ratio of 17.7. Shares are up 55.0% year to date as of the close of trading on Friday. Currently there are 4 analysts that rate Cabela's a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Cabela's as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, impressive record of earnings per share growth, compelling growth in net income, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full Cabela's Ratings Report now.

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1. As of noon trading, Tractor Supply ( TSCO) is up $0.94 (0.84) to $111.68 on light volume Thus far, 201,667 shares of Tractor Supply exchanged hands as compared to its average daily volume of 677,800 shares. The stock has ranged in price between $111.00-$112.11 after having opened the day at $111.13 as compared to the previous trading day's close of $110.74.

Tractor Supply Company operates retail farm and ranch stores in the United States. Tractor Supply has a market cap of $7.5 billion and is part of the services sector. The company has a P/E ratio of 28.0, above the S&P 500 P/E ratio of 17.7. Shares are up 25.3% year to date as of the close of trading on Friday. Currently there are 15 analysts that rate Tractor Supply a buy, no analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates Tractor Supply as a buy. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, revenue growth, notable return on equity, largely solid financial position with reasonable debt levels by most measures and increase in net income. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value. Get the full Tractor Supply Ratings Report now.

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If you are interested in one of these 3 stocks, ETFs may be of interest. Investors who are bullish on the specialty retail industry could consider SPDR S&P Retail ETF ( XRT) while those bearish on the specialty retail industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

A reminder about TheStreet Ratings group: 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.
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