Hillshire Brands Co (HSH): Today's Featured Consumer Goods Winner

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

Hillshire Brands ( HSH) pushed the Consumer Goods sector higher today making it today's featured consumer goods winner. The sector as a whole closed the day down 0.1%. By the end of trading, Hillshire Brands rose $0.57 (1.6%) to $35.76 on light volume. Throughout the day, 629,138 shares of Hillshire Brands exchanged hands as compared to its average daily volume of 1,262,600 shares. The stock ranged in a price between $35.15-$35.90 after having opened the day at $35.24 as compared to the previous trading day's close of $35.19. Other companies within the Consumer Goods sector that increased today were: Tesla Motors ( TSLA), up 14.4%, Castle Brands Incorporated ( ROX), up 8.8%, Orient Paper ( ONP), up 8.4% and Summer Infant ( SUMR), up 8.0%.
  • 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 Hillshire Brands Company engages in the manufacture and marketing of meat-centric food solutions for the retail and foodservice markets worldwide. Hillshire Brands has a market cap of $4.3 billion and is part of the food & beverage industry. The company has a P/E ratio of 52.3, above the S&P 500 P/E ratio of 17.7. Shares are up 24.4% year to date as of the close of trading on Friday. Currently there are 2 analysts that rate Hillshire Brands a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Hillshire Brands as a hold. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, good cash flow from operations and impressive record of earnings per share growth. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, generally higher debt management risk and poor profit margins.

On the negative front, Central European Distribution ( CEDC), down 9.3%, Ballantyne Strong ( BTN), down 8.1%, Gaming Partners International Corporation ( GPIC), down 6.5% and ACCO Brands ( ACCO), down 5.9% , were all laggards within the consumer goods sector with Sealed Air Corporation ( SEE) being today's consumer goods sector laggard.

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).

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.

null

More from Markets

5 Stocks That Are Screaming Buys Right Now

5 Stocks That Are Screaming Buys Right Now

General Electric Booted From Dow, Replaced by Walgreens

General Electric Booted From Dow, Replaced by Walgreens

European Union Says Tariffs on U.S. Imports Will Kick In on June 22

European Union Says Tariffs on U.S. Imports Will Kick In on June 22

Stocks Rise, GE Dropped From the Dow, Starbucks, Oracle - 5 Things You Must Know

Stocks Rise, GE Dropped From the Dow, Starbucks, Oracle - 5 Things You Must Know

Global Stocks Rebound But US-China Trade War Concerns Keep Investors on Edge

Global Stocks Rebound But US-China Trade War Concerns Keep Investors on Edge