3 Stocks Pushing The Materials & Construction Industry Downward

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 115 points (0.7%) at 16,388 as of Friday, Feb. 28, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,987 issues advancing vs. 938 declining with 158 unchanged.

The Materials & Construction industry currently sits up 0.4% versus the S&P 500, which is up 0.6%. On the negative front, top decliners within the industry include Plum Creek Timber ( PCL), down 0.8%, Lennar Corporation ( LEN), down 0.6% and Cemex S.A.B. de C.V ( CX), down 0.6%. Top gainers within the industry include James Hardie Industries ( JHX), up 3.4%, Waste Connections ( WCN), up 2.0%, Chicago Bridge & Iron Company ( CBI), up 1.5% and Sherwin-Williams Company ( SHW), up 0.9%.

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

3. Fastenal Company ( FAST) is one of the companies pushing the Materials & Construction industry lower today. As of noon trading, Fastenal Company is down $0.53 (-1.1%) to $47.04 on light volume. Thus far, 695,573 shares of Fastenal Company exchanged hands as compared to its average daily volume of 2.4 million shares. The stock has ranged in price between $46.95-$47.67 after having opened the day at $47.67 as compared to the previous trading day's close of $47.57.

Fastenal Company, together with its subsidiaries, operates as a wholesaler and retailer of industrial and construction supplies in the United States, Canada, and internationally. The company offers fasteners and other industrial and construction supplies under the Fastenal name. Fastenal Company has a market cap of $13.8 billion and is part of the industrial goods sector. Shares are up 0.1% year-to-date as of the close of trading on Thursday. Currently there are 3 analysts that rate Fastenal Company a buy, 1 analyst rates it a sell, and 6 rate it a hold.

TheStreet Ratings rates Fastenal Company 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, expanding profit margins, increase in net income and notable return on equity. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full Fastenal Company 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, PulteGroup ( PHM) is down $0.22 (-1.0%) to $21.07 on average volume. Thus far, 3.7 million shares of PulteGroup exchanged hands as compared to its average daily volume of 7.4 million shares. The stock has ranged in price between $21.00-$21.29 after having opened the day at $21.28 as compared to the previous trading day's close of $21.29.

PulteGroup, Inc., through its subsidiaries, engages in homebuilding and financial services businesses primarily in the United States. PulteGroup has a market cap of $8.1 billion and is part of the industrial goods sector. Shares are up 4.5% year-to-date as of the close of trading on Thursday. Currently there are 6 analysts that rate PulteGroup a buy, 2 analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates PulteGroup as a buy. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity and increase in stock price during the past year. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full PulteGroup 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, DR Horton ( DHI) is down $0.14 (-0.6%) to $24.72 on light volume. Thus far, 1.8 million shares of DR Horton exchanged hands as compared to its average daily volume of 7.0 million shares. The stock has ranged in price between $24.61-$24.95 after having opened the day at $24.83 as compared to the previous trading day's close of $24.87.

D.R. Horton, Inc. operates as a homebuilding company. It is engaged in the acquisition and development of land; and construction and sale of residential homes in 27 states and 78 markets in the United States under the D.R. Horton, America's Builder, Emerald Homes, and Breland Homes. DR Horton has a market cap of $8.0 billion and is part of the industrial goods sector. Shares are up 11.4% year-to-date as of the close of trading on Thursday. Currently there are 7 analysts that rate DR Horton a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates DR Horton as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, attractive valuation levels, good cash flow from operations, increase in net income and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full DR Horton 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 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).
null

If you liked this article you might like

Tuesday Looked a Bit Like a Waterloo Moment for Bulls: Market Recon

Tuesday Looked a Bit Like a Waterloo Moment for Bulls: Market Recon

Facts of Black Monday 1987, the Worst Single Day In Stock Market History

Facts of Black Monday 1987, the Worst Single Day In Stock Market History

13 Stocks That Will Let You Play Trump's Feud With NFL: Market Recon

13 Stocks That Will Let You Play Trump's Feud With NFL: Market Recon

ADP, Equifax and Facebook - 5 Things You Must Know Before the Market Opens

ADP, Equifax and Facebook - 5 Things You Must Know Before the Market Opens

Why You Must Immediately Short Amazon, Starbucks, Disney and 3 Other Stocks

Why You Must Immediately Short Amazon, Starbucks, Disney and 3 Other Stocks