Sherwin-Williams Company (SHW): 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.

Sherwin-Williams Company ( SHW) pushed the Materials & Construction industry higher today making it today's featured materials & construction winner. The industry as a whole closed the day up 0.5%. By the end of trading, Sherwin-Williams Company rose $3.91 (2.0%) to $198.03 on average volume. Throughout the day, 953,436 shares of Sherwin-Williams Company exchanged hands as compared to its average daily volume of 662,300 shares. The stock ranged in a price between $195.28-$198.15 after having opened the day at $196.40 as compared to the previous trading day's close of $194.12. Other companies within the Materials & Construction industry that increased today were: Guanwei Recycling ( GPRC), up 8.3%, MagneGas Corporation ( MNGA), up 6.7%, Ecology and Environment ( EEI), up 4.3% and Headwaters ( HW), up 4.0%.

The Sherwin-Williams Company engages in the development, manufacture, distribution, and sale of paints, coatings, and related products to professional, industrial, commercial, and retail customers primarily in North America, South America, Europe, Asia, and the Caribbean region. Sherwin-Williams Company has a market cap of $19.7 billion and is part of the basic materials sector. The company has a P/E ratio of 28.7, above the S&P 500 P/E ratio of 17.7. Shares are up 5.8% year to date as of the close of trading on Friday. Currently there are 8 analysts that rate Sherwin-Williams Company a buy, 1 analyst rates it a sell, and 5 rate it a hold.

TheStreet Ratings rates Sherwin-Williams Company as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, growth in earnings per share, good cash flow from operations and expanding profit margins. 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 negative front, China Advanced Construction Materials Group ( CADC), down 8.9%, TRI Pointe Homes ( TPH), down 3.4%, Gafisa ( GFA), down 3.0% and Nuverra Environmental Solutions ( NES), down 2.8% , were all laggards within the materials & construction industry with Tile Shop Holdings ( TTS) 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).

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