Gerdau SA (GGB): Today's Featured Metals & Mining Laggard

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Gerdau ( GGB) pushed the Metals & Mining industry lower today making it today's featured Metals & Mining laggard. The industry as a whole closed the day up 0.8%. By the end of trading, Gerdau fell $0.10 (-1.5%) to $6.45 on average volume. Throughout the day, 4,919,296 shares of Gerdau exchanged hands as compared to its average daily volume of 5,921,800 shares. The stock ranged in price between $6.41-$6.63 after having opened the day at $6.63 as compared to the previous trading day's close of $6.55. Other companies within the Metals & Mining industry that declined today were: Cardero Resources Corporation ( CDY), down 7.3%, Sterlite Industries (India ( SLT), down 7.2%, Tasman Metals ( TAS), down 6.9% and Exeter Resource Corporation ( XRA), down 6.2%.

Gerdau S.A. engages in the production and commercialization of steel products worldwide. Gerdau has a market cap of $11.0 billion and is part of the basic materials sector. Shares are down 27.1% year to date as of the close of trading on Thursday. Currently there are 3 analysts that rate Gerdau a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Gerdau as a hold. Among the primary strengths of the company is its solid financial position based on a variety of debt and liquidity measures that we have evaluated. At the same time, however, we also find weaknesses including a generally disappointing performance in the stock itself, disappointing return on equity and poor profit margins.

On the positive front, USEC ( USU), up 37.5%, Uranium Resources ( URRE), up 34.7%, Crosshair Energy ( CXZ), up 33.3% and China Gengsheng Minerals ( CHGS), up 11.0% , were all gainers within the metals & mining industry with Goldcorp ( GG) being today's featured metals & mining industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the metals & mining industry could consider SPDR S&P Metals & Mining ETF ( XME) while those bearish on the metals & mining industry could consider PowerShares DB Base Metals Sht ETN ( BOS).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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