Fastenal Company (FAST): Today's Featured Materials & Construction 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.

Fastenal Company ( FAST) pushed the Materials & Construction industry lower today making it today's featured Materials & Construction laggard. The industry as a whole closed the day up 0.3%. By the end of trading, Fastenal Company fell $0.96 (-1.9%) to $49.28 on average volume. Throughout the day, 2,182,187 shares of Fastenal Company exchanged hands as compared to its average daily volume of 1,763,300 shares. The stock ranged in price between $48.37-$49.62 after having opened the day at $48.83 as compared to the previous trading day's close of $50.24. Other companies within the Materials & Construction industry that declined today were: Industrial Services of America ( IDSA), down 7.5%, Vertex Energy ( VTNR), down 6.6%, Cavco Industries ( CVCO), down 4.3% and Perma-Fix Environmental Services ( PESI), down 3.4%.

Fastenal Company, together with its subsidiaries, operates as a wholesaler and retailer of industrial and construction supplies in the United States, Canada, and internationally. The company offers fasteners and other industrial and construction supplies under the Fastenal name. Fastenal Company has a market cap of $14.9 billion and is part of the industrial goods sector. Shares are up 7.7% year to date as of the close of trading on Friday. Currently there are 3 analysts that rate Fastenal Company a buy, 1 analyst rates it a sell, and 7 rate it a hold.

TheStreet Ratings rates Fastenal Company as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, expanding profit margins and growth in earnings per share. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.

On the positive front, China Advanced Construction Materials Group ( CADC), up 40.0%, MagneGas Corporation ( MNGA), up 9.6%, Homex Development ( HXM), up 9.4% and China Recycling Energy Corporation ( CREG), up 5.6%.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the materials & construction industry could consider SPDR S&P Homebuilders ETF ( XHB) while those bearish on the materials & construction industry could consider ProShares Short Basic Materials Fd ( SBM).

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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