SodaStream International Ltd. (SODA): Today's Featured Consumer Goods Laggard

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

SodaStream International ( SODA) pushed the Consumer Goods sector lower today making it today's featured Consumer Goods laggard. The sector as a whole closed the day up 0.4%. By the end of trading, SodaStream International fell $1.15 (-2.2%) to $51.96 on heavy volume. Throughout the day, 3,698,732 shares of SodaStream International exchanged hands as compared to its average daily volume of 819,900 shares. The stock ranged in price between $49.70-$53.88 after having opened the day at $50.22 as compared to the previous trading day's close of $53.11. Other companies within the Consumer Goods sector that declined today were: Blyth ( BTH), down 13.8%, Appliance Recycling Centers Of America ( ARCI), down 10.0%, Tandy Brands Accessories ( TBAC), down 7.5% and China Shengda Packaging Group ( CPGI), down 6.2%.
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SodaStream International Ltd. engages in the development, manufacture, and sale of home beverage carbonation systems that enable consumers to transform ordinary tap water instantly into carbonated soft drinks and sparkling water. SodaStream International has a market cap of $1.1 billion and is part of the food & beverage industry. The company has a P/E ratio of 26.3, above the S&P 500 P/E ratio of 17.7. Shares are up 22.5% year to date as of the close of trading on Tuesday. Currently there are 7 analysts that rate SodaStream International a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates SodaStream International as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. However, as a counter to these strengths, we find that the growth in the company's net income has been quite unimpressive.

On the positive front, Omega Protein Corporation ( OME), down 16.5%, Summer Infant ( SUMR), down 11.0%, Federal-Mogul ( FDML), down 7.0% and SORL Auto Parts ( SORL), down 6.5% , were all gainers within the consumer goods sector with Bunge ( BG) being today's featured consumer goods sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the consumer goods sector could consider iShares Dow Jones US Cons Goods ( IYK) while those bearish on the consumer goods sector could consider ProShares Ultra Sht Consumer Goods ( SZK).

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