Energy Transfer Equity LP (ETE): Today's Featured Basic Materials 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.

Energy Transfer Equity ( ETE) pushed the Basic Materials sector lower today making it today's featured Basic Materials laggard. The sector as a whole closed the day up 1.6%. By the end of trading, Energy Transfer Equity fell $0.98 (-1.5%) to $63.12 on average volume. Throughout the day, 1,350,438 shares of Energy Transfer Equity exchanged hands as compared to its average daily volume of 1,333,900 shares. The stock ranged in price between $62.64-$64.96 after having opened the day at $64.36 as compared to the previous trading day's close of $64.10. Other companies within the Basic Materials sector that declined today were: Crosshair Energy ( CXZ), down 21.4%, Quaterra Resources ( QMM), down 10.1%, Tasman Metals ( TAS), down 8.0% and Gold Fields ( GFI), down 7.2%.

Energy Transfer Equity, L.P., through its subsidiaries, provides diversified energy-related services in the United States. The company sells natural gas to electric utilities, independent power plants, local distribution companies, industrial end-users, and other marketing companies. Energy Transfer Equity has a market cap of $18.2 billion and is part of the energy industry. Shares are up 40.9% year to date as of the close of trading on Wednesday. Currently there are 7 analysts that rate Energy Transfer Equity a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Energy Transfer Equity as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in net income, notable return on equity, solid stock price performance and growth in earnings per share. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

On the positive front, Andatee China Marine Fuel Services Corporat ( AMCF), up 16.1%, Entree Gold ( EGI), up 15.2%, MagneGas Corporation ( MNGA), up 9.9% and Forbes Energy Services ( FES), up 9.0% , were all gainers within the basic materials sector with Vale ( VALE) being today's featured basic materials sector leader.

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