Eaton Corporation PLC (ETN): Today's Featured Industrial 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

Eaton Corporation ( ETN) pushed the Industrial industry higher today making it today's featured industrial winner. The industry as a whole closed the day up 1.4%. By the end of trading, Eaton Corporation rose $0.96 (1.5%) to $63.15 on average volume. Throughout the day, 3,028,240 shares of Eaton Corporation exchanged hands as compared to its average daily volume of 3,449,400 shares. The stock ranged in a price between $61.97-$63.35 after having opened the day at $62.78 as compared to the previous trading day's close of $62.19. Other companies within the Industrial industry that increased today were: Hydrogenics Corporation ( HYGS), up 16.7%, UQM Technologies ( UQM), up 12.9%, Arotech Corporation ( ARTX), up 11.0% and China BAK Battery ( CBAK), up 10.5%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, 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.

Eaton Corporation plc operates as a diversified power management company worldwide. The company operates through Electrical Americas, Electrical Rest of World, Cooper, Hydraulics, Aerospace, Truck, and Automotive segments. Eaton Corporation has a market cap of $30.3 billion and is part of the technology sector. The company has a P/E ratio of 19.2, above the S&P 500 P/E ratio of 17.7. Shares are up 14.8% year to date as of the close of trading on Monday. Currently there are 11 analysts that rate Eaton Corporation a buy, 1 analyst rates it a sell, and 4 rate it a hold.

TheStreet Ratings rates Eaton Corporation as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, reasonable valuation levels, good cash flow from operations and increase in net income. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

On the negative front, Bonso Electronics International ( BNSO), down 8.6%, Highpower International ( HPJ), down 5.6%, Broadwind Energy ( BWEN), down 4.0% and China Recycling Energy Corporation ( CREG), down 3.8%.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the industrial industry could consider SPDR Dow Jones Industrial Average ( DIA) while those bearish on the industrial industry could consider ProShares UltraShort Industrials ( SIJ).

3x UPSIDE POTENTIAL: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.