Leggett & Platt Inc. (LEG): Today's Featured Consumer Goods 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.

Leggett & Platt ( LEG) pushed the Consumer Goods sector lower today making it today's featured Consumer Goods laggard. The sector as a whole closed the day up 0.8%. By the end of trading, Leggett & Platt fell $0.32 (-1.1%) to $30.08 on average volume. Throughout the day, 833,458 shares of Leggett & Platt exchanged hands as compared to its average daily volume of 1,081,900 shares. The stock ranged in price between $30.01-$30.55 after having opened the day at $30.47 as compared to the previous trading day's close of $30.40. Other companies within the Consumer Goods sector that declined today were: Coldwater Creek ( CWTR), down 7.8%, Swisher Hygiene ( SWSH), down 4.2%, Escalade ( ESCA), down 3.1% and Zuoan Fashion ( ZA), down 2.9%.

Leggett & Platt, Incorporated designs and produces various engineered components and products worldwide. Leggett & Platt has a market cap of $4.2 billion and is part of the consumer durables industry. The company has a P/E ratio of 16.9, below the S&P 500 P/E ratio of 17.7. Shares are up 11.7% year to date as of the close of trading on Tuesday. Currently there are no analysts that rate Leggett & Platt a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Leggett & Platt as a buy. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, good cash flow from operations, notable return on equity and increase in stock price during the past year. We feel these strengths outweigh the fact that the company shows low profit margins.

On the positive front, Primo Water ( PRMW), up 11.7%, Kid Brands ( KID), up 9.0%, Cobra Electronics Corporation ( COBR), up 7.5% and China New Borun Corporation ( BORN), up 5.8% , were all gainers within the consumer goods sector with General Motors ( GM) being today's featured consumer goods sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the consumer goods sector could consider iShares Dow Jones US Cons Goods ( IYK) while those bearish on the consumer goods sector could consider ProShares Ultra Sht Consumer Goods ( SZK).

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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