3 Materials & Construction Stocks Moving The Industry Upward

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.

Two out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading down 28 points (-0.2%) at 16,647 as of Wednesday, May 28, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,518 issues advancing vs. 1,472 declining with 153 unchanged.

The Materials & Construction industry currently sits up 0.1% versus the S&P 500, which is unchanged. Top gainers within the industry include Rayonier ( RYN), up 1.3%, James Hardie Industries ( JHX), up 1.2%, Waste Connections ( WCN), up 0.9%, Plum Creek Timber ( PCL), up 0.7% and Weyerhaeuser ( WY), up 0.6%.

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

3. Toll Brothers ( TOL) is one of the companies pushing the Materials & Construction industry higher today. As of noon trading, Toll Brothers is up $0.72 (2.0%) to $36.36 on heavy volume. Thus far, 3.5 million shares of Toll Brothers exchanged hands as compared to its average daily volume of 2.9 million shares. The stock has ranged in price between $36.02-$37.20 after having opened the day at $36.90 as compared to the previous trading day's close of $35.64.

Toll Brothers, Inc., together with its subsidiaries, designs, builds, markets, and arranges finance for detached and attached homes in luxury residential communities in the Unites States. It is also involved in building and selling homes in urban infill markets. Toll Brothers has a market cap of $6.3 billion and is part of the industrial goods sector. Shares are down 3.7% year-to-date as of the close of trading on Tuesday. Currently there are 6 analysts who rate Toll Brothers a buy, 2 analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Toll Brothers as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in net income, growth in earnings per share, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full Toll Brothers Ratings Report now.

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2. As of noon trading, DR Horton ( DHI) is up $0.17 (0.7%) to $23.30 on light volume. Thus far, 2.3 million shares of DR Horton exchanged hands as compared to its average daily volume of 6.7 million shares. The stock has ranged in price between $23.13-$23.72 after having opened the day at $23.45 as compared to the previous trading day's close of $23.13.

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 $7.7 billion and is part of the industrial goods sector. Shares are up 5.6% year-to-date as of the close of trading on Tuesday. Currently there are 7 analysts who rate DR Horton a buy, 1 analyst rates it a sell, and 5 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, growth in earnings per share, increase in net income and largely solid financial position with reasonable debt levels by most measures. 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.

3x UPSIDE POTENTIAL: 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, Cemex SAB de CV ( CX) is up $0.06 (0.5%) to $13.00 on light volume. Thus far, 3.2 million shares of Cemex SAB de CV exchanged hands as compared to its average daily volume of 13.2 million shares. The stock has ranged in price between $12.92-$13.06 after having opened the day at $12.96 as compared to the previous trading day's close of $12.93.

CEMEX, S.A.B. de C.V., through its subsidiaries, produces, markets, distributes, and sells cement, ready-mix concrete, aggregates, and other construction materials in Mexico, the United States, Northern Europe, the Mediterranean, South America, Central America, the Caribbean, and Asia. Cemex SAB de CV has a market cap of $15.3 billion and is part of the industrial goods sector. Shares are up 8.6% year-to-date as of the close of trading on Tuesday. Currently there are 7 analysts who rate Cemex SAB de CV a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Cemex SAB de CV as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in stock price during the past year and growth in earnings per share. However, as a counter to these strengths, we find that the company's profit margins have been poor overall. Get the full Cemex SAB de CV Ratings Report now.

3x UPSIDE POTENTIAL: 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).

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