Ryland Group Inc. (RYL): Today's Featured Industrial 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

Ryland Group ( RYL) pushed the Industrial Goods sector lower today making it today's featured Industrial Goods laggard. The sector as a whole closed the day up 0.5%. By the end of trading, Ryland Group fell $0.88 (-1.8%) to $47.17 on average volume. Throughout the day, 1,332,612 shares of Ryland Group exchanged hands as compared to its average daily volume of 1,343,600 shares. The stock 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. Other companies within the Industrial Goods sector that declined today were: Fuel Tech ( FTEK), down 10.5%, Ducommun ( DCO), down 7.5%, Magnetek ( MAG), down 5.9% and Euro Tech Holdings Company ( CLWT), down 5.2%.
  • EXCLUSIVE OFFER: Jim Cramer's Protege, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

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 materials & construction industry. 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. Currently there are 6 analysts that rate Ryland Group a buy, no analysts rate it a sell, and 7 rate it a hold.

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.

On the positive front, China Valves Technology ( CVVT), down 11.6%, Bonso Electronics International ( BNSO), down 8.8%, IntriCon Corporation ( IIN), down 7.6% and Comstock ( CHCI), down 7.1% , were all gainers within the industrial goods sector with ABB ( ABB) being today's featured industrial goods sector leader.

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).

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 liked this article you might like

3 Stocks Pulling The Materials & Construction Industry Downward

3 Stocks Improving Performance Of The Materials & Construction Industry

'Fast Money' Recap: Building on a Housing Position

Watch Out: Barbarians At The Gate For Ryland Group (RYL)

Stocks Slump as Greek Debt Talks Stall Again