USG Corp (USG): Today's Featured Materials & Construction Winner

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.

USG ( USG) pushed the Materials & Construction industry higher today making it today's featured materials & construction winner. The industry as a whole closed the day up 0.4%. By the end of trading, USG rose $0.35 (1.3%) to $26.46 on light volume. Throughout the day, 1,038,238 shares of USG exchanged hands as compared to its average daily volume of 1,803,800 shares. The stock ranged in a price between $26.02-$26.54 after having opened the day at $26.23 as compared to the previous trading day's close of $26.11. Other companies within the Materials & Construction industry that increased today were: Real Goods Solar ( RSOL), up 7.2%, China Recycling Energy Corporation ( CREG), up 5.8%, Gafisa ( GFA), up 4.9% and Argan ( AGX), up 4.4%.

USG Corporation, through its subsidiaries, engages in the manufacture and distribution of building materials worldwide. The company operates in three reportable segments: North American Gypsum, Worldwide Ceilings, and Building Products Distribution. USG has a market cap of $2.8 billion and is part of the industrial goods sector. Shares are down 6.6% year to date as of the close of trading on Thursday. Currently there are 9 analysts that rate USG a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates USG as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations and increase in stock price during the past year. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, generally higher debt management risk and poor profit margins.

On the negative front, MagneGas Corporation ( MNGA), down 7.1%, Vertex Energy ( VTNR), down 3.3%, China Advanced Construction Materials Group ( CADC), down 3.3% and Foster Wheeler ( FWLT), down 1.9% , were all laggards within the materials & construction industry with Lennar Corporation ( LEN) being today's materials & construction industry laggard.

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).

3x UPSIDE POTENTIAL: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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