Dow Chemical Co (DOW): Today's Featured Chemicals 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.

Dow Chemical ( DOW) pushed the Chemicals industry lower today making it today's featured Chemicals laggard. The industry as a whole closed the day down 1.8%. By the end of trading, Dow Chemical fell $0.60 (-1.6%) to $37.15 on average volume. Throughout the day, 5,601,634 shares of Dow Chemical exchanged hands as compared to its average daily volume of 6,203,900 shares. The stock ranged in price between $36.85-$37.43 after having opened the day at $37.37 as compared to the previous trading day's close of $37.75. Other companies within the Chemicals industry that declined today were: BioAmber ( BIOA), down 14.5%, American Pacific Corporation ( APFC), down 9.7%, Senomyx ( SNMX), down 6.5% and Valspar Corporation ( VAL), down 5.9%.

The Dow Chemical Company manufactures and supplies chemical products for use as raw materials worldwide. Dow Chemical has a market cap of $45.8 billion and is part of the basic materials sector. Shares are up 16.8% year to date as of the close of trading on Wednesday. Currently there are 3 analysts that rate Dow Chemical a buy, 4 analysts rate it a sell, and 12 rate it a hold.

TheStreet Ratings rates Dow Chemical as a buy. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth, solid stock price performance, attractive valuation levels and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins.

On the positive front, Intrepid Potash ( IPI), up 2.8%, Flexible Solutions International ( FSI), up 2.5% and Potash Corporation of Saskatchewan ( POT), up 1.6%.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the chemicals industry could consider Materials Select Sector SPDR ( XLB) while those bearish on the chemicals 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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