3 Industrial Goods Stocks Dragging The Sector Down

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.

All three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading up 30 points (0.2%) at 15,994 as of Thursday, Feb. 13, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,823 issues advancing vs. 1,044 declining with 196 unchanged.

The Industrial Goods sector currently sits up 0.5% versus the S&P 500, which is up 0.2%. On the negative front, top decliners within the sector include Nidec Corporation ( NJ), down 3.4%, James Hardie Industries ( JHX), down 3.0%, Deere ( DE), down 1.1% and Emerson Electric ( EMR), down 0.8%. Top gainers within the sector include 3D Systems Corporation ( DDD), up 2.1%, Cummins ( CMI), up 1.3%, Lockheed Martin Corporation ( LMT), up 1.0% and Sherwin-Williams Company ( SHW), up 0.9%.

TheStreet would like to highlight 3 stocks pushing the sector lower today:

3. ABB ( ABB) is one of the companies pushing the Industrial Goods sector lower today. As of noon trading, ABB is down $0.58 (-2.3%) to $25.09 on heavy volume. Thus far, 2.0 million shares of ABB exchanged hands as compared to its average daily volume of 1.5 million shares. The stock has ranged in price between $24.95-$25.15 after having opened the day at $24.96 as compared to the previous trading day's close of $25.67.

ABB Ltd provides power and automation technologies for utility and industrial customers worldwide. ABB has a market cap of $59.0 billion and is part of the industrial industry. Shares are down 3.4% year-to-date as of the close of trading on Wednesday. Currently there are 3 analysts that rate ABB a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates ABB as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, reasonable valuation levels and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full ABB Ratings Report now.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

2. As of noon trading, Alliant Techsystems ( ATK) is down $4.74 (-3.4%) to $133.00 on heavy volume. Thus far, 434,195 shares of Alliant Techsystems exchanged hands as compared to its average daily volume of 347,700 shares. The stock has ranged in price between $132.16-$135.58 after having opened the day at $133.99 as compared to the previous trading day's close of $137.75.

Alliant Techsystems Inc. engages in the provision of aerospace, defense, and commercial products to the U.S. government, allied nations, and prime contractors. The company also supplies ammunition and related accessories to law enforcement agencies and commercial customers. Alliant Techsystems has a market cap of $4.4 billion and is part of the aerospace/defense industry. Shares are up 13.2% year-to-date as of the close of trading on Wednesday. Currently there are 5 analysts that rate Alliant Techsystems a buy, 1 analyst rates it a sell, and 4 rate it a hold.

TheStreet Ratings rates Alliant Techsystems as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, attractive valuation levels and good cash flow from operations. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full Alliant Techsystems Ratings Report now.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

1. As of noon trading, Illinois Tool Works ( ITW) is down $0.53 (-0.7%) to $78.26 on average volume. Thus far, 1.4 million shares of Illinois Tool Works exchanged hands as compared to its average daily volume of 2.0 million shares. The stock has ranged in price between $77.95-$78.47 after having opened the day at $78.25 as compared to the previous trading day's close of $78.79.

Illinois Tool Works Inc. manufactures and sells a range of industrial products and equipment worldwide. Illinois Tool Works has a market cap of $35.0 billion and is part of the industrial industry. Shares are down 6.3% year-to-date as of the close of trading on Wednesday. Currently there are 9 analysts that rate Illinois Tool Works a buy, 2 analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Illinois Tool Works as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Illinois Tool Works Ratings Report now.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

If you are interested in one of these 3 stocks, ETFs may be of interest. Investors who are bullish on the industrial goods sector could consider Industrial Select Sector SPDR ( XLI) while those bearish on the industrial goods sector could consider ProShares Short Dow 30 ( DOG).

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