PulteGroup Inc (PHM): Today's Featured Materials & Construction 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.

PulteGroup ( PHM) pushed the Materials & Construction industry lower today making it today's featured Materials & Construction laggard. The industry as a whole closed the day up 0.4%. By the end of trading, PulteGroup fell $0.29 (-1.5%) to $19.11 on average volume. Throughout the day, 8,814,041 shares of PulteGroup exchanged hands as compared to its average daily volume of 7,599,500 shares. The stock ranged in price between $19.06-$19.54 after having opened the day at $19.53 as compared to the previous trading day's close of $19.40. Other companies within the Materials & Construction industry that declined today were: Industrial Services of America ( IDSA), down 6.8%, TRI Pointe Homes ( TPH), down 5.2%, Cementos Pacasmayo SAA ADR ( CPAC), down 4.7% and Trex Company ( TREX), down 4.2%.

PulteGroup, Inc., through its subsidiaries, engages in homebuilding and financial services businesses primarily in the United States. PulteGroup has a market cap of $7.5 billion and is part of the industrial goods sector. Shares are down 4.8% year to date as of the close of trading on Thursday. Currently there are 7 analysts that rate PulteGroup a buy, 2 analysts rate it a sell, and 5 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 impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

On the positive front, MagneGas Corporation ( MNGA), up 60.0%, Vertex Energy ( VTNR), up 19.1%, Nuverra Environmental Solutions ( NES), up 5.8% and Goldfield ( GV), up 5.7% , were all gainers within the materials & construction industry with Chicago Bridge & Iron Company ( CBI) being today's featured materials & construction industry leader.

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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