Gerdau SA (GGB): Today's Featured Metals & Mining 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.

Gerdau ( GGB) pushed the Metals & Mining industry lower today making it today's featured Metals & Mining laggard. The industry as a whole closed the day up 0.9%. By the end of trading, Gerdau fell $0.59 (-8.6%) to $6.31 on heavy volume. Throughout the day, 10,087,492 shares of Gerdau exchanged hands as compared to its average daily volume of 4,382,400 shares. The stock ranged in price between $6.19-$6.66 after having opened the day at $6.64 as compared to the previous trading day's close of $6.90. Other companies within the Metals & Mining industry that declined today were: Companhia Siderurgica Nacional ( SID), down 7.9%, China Gengsheng Minerals ( CHGS), down 7.4%, Tanzanian Royalty Exploration Corporation ( TRX), down 6.1% and Gold Standard Ventures ( GSV), down 5.9%.

Gerdau S.A. engages in the production and commercialization of steel products worldwide. Gerdau has a market cap of $11.7 billion and is part of the basic materials sector. Shares are down 12.0% year to date as of the close of trading on Friday. Currently there is 1 analyst that rates Gerdau a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Gerdau as a hold. The company's strengths can be seen in multiple areas, such as its good cash flow from operations, growth in earnings per share and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, disappointing return on equity and poor profit margins.

On the positive front, Golden Minerals ( AUMN), up 24.7%, Avino Silver & Gold Mines ( ASM), up 17.0%, Northern Dynasty Minerals ( NAK), up 13.1% and Vista Gold Corporation ( VGZ), up 12.8% , were all gainers within the metals & mining industry with Newmont Mining Corporation ( NEM) being today's featured metals & mining industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the metals & mining industry could consider SPDR S&P Metals & Mining ETF ( XME) while those bearish on the metals & mining industry could consider PowerShares DB Base Metals Sht ETN ( BOS).

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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