3 Stocks Pulling The Materials & Construction Industry Downward

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All three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading up 81 points (0.5%) at 17,082 as of Monday, Aug. 25, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,780 issues advancing vs. 1,159 declining with 188 unchanged.

The Materials & Construction industry currently sits up 0.2% versus the S&P 500, which is up 0.4%. A company within the industry that fell today was James Hardie Industries ( JHX), up 1.0%.

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

3. Toll Brothers ( TOL) is one of the companies pushing the Materials & Construction industry lower today. As of noon trading, Toll Brothers is down $0.39 (-1.1%) to $35.18 on average volume. Thus far, 874,117 shares of Toll Brothers exchanged hands as compared to its average daily volume of 1.8 million shares. The stock has ranged in price between $35.14-$35.86 after having opened the day at $35.68 as compared to the previous trading day's close of $35.57.

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 3.9% year-to-date as of the close of trading on Friday. Currently there are 6 analysts that 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, largely solid financial position with reasonable debt levels by most measures, increase in net income, good cash flow from operations and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Toll Brothers 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, Lennar ( LEN) is down $0.36 (-0.9%) to $38.81 on average volume. Thus far, 1.7 million shares of Lennar exchanged hands as compared to its average daily volume of 2.9 million shares. The stock has ranged in price between $38.80-$39.57 after having opened the day at $39.27 as compared to the previous trading day's close of $39.17.

Lennar Corporation, together with its subsidiaries, is engaged in homebuilding activities in the United States. Lennar has a market cap of $6.8 billion and is part of the industrial goods sector. Shares are down 1.0% year-to-date as of the close of trading on Friday. Currently there are 4 analysts that rate Lennar a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Lennar as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in stock price during the past year, increase in net income and notable return on equity. 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 Lennar 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 $0.30 (-1.4%) to $21.54 on average volume. Thus far, 2.5 million shares of DR Horton exchanged hands as compared to its average daily volume of 5.8 million shares. The stock has ranged in price between $21.53-$22.06 after having opened the day at $21.88 as compared to the previous trading day's close of $21.84.

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 $7.9 billion and is part of the industrial goods sector. Shares are down 2.1% year-to-date as of the close of trading on Friday. Currently there are 7 analysts that rate DR Horton a buy, 1 analyst rates 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, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income. 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).

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