RYL, FAST, MAS And CX, Pushing Materials & Construction Industry Downward

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 12 points (0.1%) at 15,069 as of Wednesday, May 8, 2013, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,670 issues advancing vs. 1,254 declining with 121 unchanged.

The Materials & Construction industry currently is unchanged today versus the S&P 500, which is up 0.2%. A company within the industry that fell today was PulteGroup ( PHM), up 1.55. A company within the industry that increased today was Weyerhaeuser ( WY), up 0.55.

TheStreet Ratings group would like to highlight 4 stocks pushing the industry lower today:

4. Ryland Group ( RYL) is one of the companies pushing the Materials & Construction industry lower today. As of noon trading, Ryland Group is down $1.66 (-3.5%) to $46.39 on average volume Thus far, 810,638 shares of Ryland Group exchanged hands as compared to its average daily volume of 1.3 million shares. The stock has ranged in price between $46.08-$48.20 after having opened the day at $47.76 as compared to the previous trading day's close of $48.05.

The Ryland Group, Inc. operates as a homebuilder and a mortgage-finance company in the United States. It engages in the design, construction, and sale of homes, as well as provides mortgage origination, title insurance, escrow, and insurance services. Ryland Group has a market cap of $2.2 billion and is part of the industrial goods sector. The company has a P/E ratio of 34.5, above the S&P 500 P/E ratio of 17.7. Shares are up 31.6% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Ryland Group as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk and poor profit margins. Get the full Ryland Group Ratings Report now.

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3. As of noon trading, Fastenal Company ( FAST) is down $0.50 (-1.0%) to $48.14 on light volume Thus far, 545,770 shares of Fastenal Company exchanged hands as compared to its average daily volume of 1.5 million shares. The stock has ranged in price between $48.12-$48.82 after having opened the day at $48.50 as compared to the previous trading day's close of $48.64.

Fastenal Company, together with its subsidiaries, operates as a wholesaler and retailer of industrial and construction supplies in the United States, Canada, and internationally. The company offers fasteners and other industrial and construction supplies under the Fastenal name. Fastenal Company has a market cap of $14.2 billion and is part of the industrial goods sector. The company has a P/E ratio of 33.0, above the S&P 500 P/E ratio of 17.7. Shares are up 2.6% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Fastenal Company 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 growth in earnings per share. 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 Fastenal Company Ratings Report now.

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2. As of noon trading, Masco Corporation ( MAS) is down $0.26 (-1.2%) to $21.32 on light volume Thus far, 1.5 million shares of Masco Corporation exchanged hands as compared to its average daily volume of 5.3 million shares. The stock has ranged in price between $21.29-$21.59 after having opened the day at $21.55 as compared to the previous trading day's close of $21.58.

Masco Corporation engages in the manufacture, distribution, and installation of home improvement and building products primarily in North America and Europe. Masco Corporation has a market cap of $7.7 billion and is part of the industrial goods sector. Shares are up 29.5% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Masco Corporation as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, notable return on equity and compelling growth in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Masco Corporation Ratings Report now.

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1. As of noon trading, Cemex S.A.B. de C.V ( CX) is down $0.18 (-1.5%) to $11.80 on light volume Thus far, 4.1 million shares of Cemex S.A.B. de C.V exchanged hands as compared to its average daily volume of 18.3 million shares. The stock has ranged in price between $11.79-$12.02 after having opened the day at $11.94 as compared to the previous trading day's close of $11.98.

CEMEX, S.A.B. de C.V., through its subsidiaries, engages in the production and sale of cement, ready-mix concrete, aggregates, and other construction materials in Mexico, the United States, Northern Europe, the Mediterranean, South America, the Caribbean, and Asia. Cemex S.A.B. de C.V has a market cap of $13.0 billion and is part of the industrial goods sector. Shares are up 21.4% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Cemex S.A.B. de C.V as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance and notable return on equity. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, generally higher debt management risk and poor profit margins. Get the full Cemex S.A.B. de C.V Ratings Report now.

Exclusive Offer: Jim Cramer's 'go-to' small/mid-cap guru Bryan Ashenberg only buys stocks he thinks could return 50-100%. See his top picks for 14-days FREE.

If you are interested in one of these 3 stocks, 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).

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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