Goldcorp Inc. (GG): 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.

Goldcorp ( GG) pushed the Basic Materials sector lower today making it today's featured Basic Materials laggard. The sector as a whole closed the day down 1.0%. By the end of trading, Goldcorp fell $1.10 (-4.9%) to $21.36 on average volume. Throughout the day, 8,443,320 shares of Goldcorp exchanged hands as compared to its average daily volume of 7,954,900 shares. The stock ranged in price between $21.34-$22.09 after having opened the day at $22.07 as compared to the previous trading day's close of $22.46. Other companies within the Basic Materials sector that declined today were: MagneGas Corporation ( MNGA), down 16.9%, Cobalt International Energy ( CIE), down 16.6%, Timberline Resources Corporation ( TLR), down 13.7% and New Concept Energy ( GBR), down 12.8%.

Goldcorp Inc. engages in the acquisition, development, exploration, and operation of precious metal properties in Canada, the United States, Mexico, and Central and South America. It primarily explores for gold ores, as well as for silver, copper, lead, and zinc ores. Goldcorp has a market cap of $18.1 billion and is part of the metals & mining industry. Shares are down 39.2% year to date as of the close of trading on Friday. Currently there are 14 analysts that rate Goldcorp a buy, 1 analyst rates it a sell, and 5 rate it a hold.

TheStreet Ratings rates Goldcorp as a hold. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity.

On the positive front, Quest Rare Minerals ( QRM), up 14.3%, James River Coal Company ( JRCC), up 14.0%, Rare Element Resources ( REE), up 13.8% and Axiall ( AXLL), up 10.3% , were all gainers within the basic materials sector with Marathon Oil ( MRO) 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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