Cummins Inc (CMI): Today's Featured Industrial 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.

Cummins ( CMI) pushed the Industrial industry lower today making it today's featured Industrial laggard. The industry as a whole closed the day down 1.7%. By the end of trading, Cummins fell $2.79 (-2.2%) to $124.72 on average volume. Throughout the day, 1,434,772 shares of Cummins exchanged hands as compared to its average daily volume of 1,722,400 shares. The stock ranged in price between $124.14-$125.89 after having opened the day at $125.89 as compared to the previous trading day's close of $127.51. Other companies within the Industrial industry that declined today were: China Valves Technology ( CVVT), down 14.3%, Ballard Power Systems ( BLDP), down 9.3%, China Recycling Energy Corporation ( CREG), down 9.1% and Cleantech Solutions International ( CLNT), down 7.3%.

Cummins Inc. designs, manufactures, distributes, and services diesel and natural gas engines, and engine-related component products. It operates in four segments: Engine, Components, Power Generation, and Distribution. Cummins has a market cap of $24.2 billion and is part of the industrial goods sector. Shares are up 17.7% year to date as of the close of trading on Wednesday. Currently there are 9 analysts that rate Cummins a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Cummins 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, solid stock price performance, good cash flow from operations and notable return on equity. We feel these strengths outweigh the fact that the company has had somewhat weak growth in earnings per share.

On the positive front, Intellicheck Mobilisa ( IDN), up 8.4%, China Ming Yang Wind Power Group ( MY), up 7.7%, Bonso Electronics International ( BNSO), up 5.3% and ZBB Energy Corporation ( ZBB), up 5.3% , were all gainers within the industrial industry with Terex ( TEX) being today's featured industrial industry leader.

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).

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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