Proto Labs Inc (PRLB): 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.

Proto Labs ( PRLB) pushed the Industrial industry lower today making it today's featured Industrial laggard. The industry as a whole closed the day up 0.6%. By the end of trading, Proto Labs fell $5.52 (-7.0%) to $73.16 on heavy volume. Throughout the day, 1,432,402 shares of Proto Labs exchanged hands as compared to its average daily volume of 413,000 shares. The stock ranged in price between $68.99-$78.89 after having opened the day at $78.57 as compared to the previous trading day's close of $78.68. Other companies within the Industrial industry that declined today were: Research Frontiers ( REFR), down 7.9%, Capstone Turbine Corporation ( CPST), down 3.6%, China Ming Yang Wind Power Group ( MY), down 3.1% and Clean Diesel Technologies ( CDTI), down 2.8%.

Proto Labs, Inc., together with its subsidiaries, manufactures computer numerical control (CNC) machined and injection molded custom parts for prototyping and short-run production. Proto Labs has a market cap of $1.9 billion and is part of the industrial goods sector. The company has a P/E ratio of 68.3, above the S&P 500 P/E ratio of 17.7. Shares are up 99.7% year to date as of the close of trading on Thursday. Currently there are 6 analysts that rate Proto Labs a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Proto Labs as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and impressive record of earnings per share growth. However, as a counter to these strengths, we find that the stock itself is trading at a premium valuation.

On the positive front, Tecumseh Products Company ( TECUA), up 5.2%, Cleantech Solutions International ( CLNT), up 4.7%, Metalico ( MEA), up 4.6% and Twin Disc ( TWIN), up 4.6% , were all gainers within the industrial industry with Rockwell Automation ( ROK) 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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