3 Stocks Pushing The Industrial Industry Lower

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The Industrial industry as a whole closed the day down 1.0% versus the S&P 500, which was down 0.7%. Laggards within the Industrial industry included Bonso Electronics International ( BNSO), down 5.5%, Tecumseh Products ( TECUB), down 3.4%, Active Power ( ACPW), down 1.9%, Omega Flex ( OFLX), down 2.0% and Marine Products ( MPX), down 7.0%.

TheStreet Ratings Group would like to highlight 3 stocks that pushed the industry lower today:

RTI International Metals ( RTI) is one of the companies that pushed the Industrial industry lower today. RTI International Metals was down $0.57 (2.0%) to $27.66 on average volume. Throughout the day, 134,355 shares of RTI International Metals exchanged hands as compared to its average daily volume of 169,300 shares. The stock ranged in price between $27.47-$28.12 after having opened the day at $28.12 as compared to the previous trading day's close of $28.23.

RTI International Metals, Inc. produces and supplies titanium mill products; and manufactures fabricated titanium and specialty metal components worldwide. The company operates through two segments, Titanium, and Engineered Products and Services. RTI International Metals has a market cap of $874.5 million and is part of the industrial goods sector. Shares are down 17.5% year-to-date as of the close of trading on Monday. Currently there are 4 analysts who rate RTI International Metals a buy, no analysts rate it a sell, and 2 rate it a hold.

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TheStreet Ratings rates RTI International Metals as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, 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 lackluster performance in the stock itself.

Highlights from TheStreet Ratings analysis on RTI go as follows:

  • RTI's revenue growth has slightly outpaced the industry average of 0.6%. Since the same quarter one year prior, revenues slightly increased by 3.1%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • RTI INTL METALS INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, RTI INTL METALS INC increased its bottom line by earning $0.47 versus $0.44 in the prior year. This year, the market expects an improvement in earnings ($1.08 versus $0.47).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Metals & Mining industry. The net income increased by 950.9% when compared to the same quarter one year prior, rising from $0.67 million to $7.04 million.
  • Despite currently having a low debt-to-equity ratio of 0.57, it is higher than that of the industry average, inferring that management of debt levels may need to be evaluated further. Even though the debt-to-equity ratio shows mixed results, the company's quick ratio of 2.87 is very high and demonstrates very strong liquidity.
  • The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. Compared to other companies in the Metals & Mining industry and the overall market on the basis of return on equity, RTI INTL METALS INC underperformed against that of the industry average and is significantly less than that of the S&P 500.

You can view the full analysis from the report here: RTI International Metals Ratings Report

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At the close, Marine Products ( MPX) was down $0.58 (7.0%) to $7.65 on average volume. Throughout the day, 21,375 shares of Marine Products exchanged hands as compared to its average daily volume of 15,300 shares. The stock ranged in price between $7.64-$8.11 after having opened the day at $8.02 as compared to the previous trading day's close of $8.23.

Marine Products Corporation designs, manufactures, and sells recreational fiberglass powerboats in the sportboat, deckboat, cruiser, sport yacht, and sport fishing markets worldwide. Marine Products has a market cap of $311.8 million and is part of the industrial goods sector. Shares are down 18.1% year-to-date as of the close of trading on Monday. Currently there are no analysts who rate Marine Products a buy, no analysts rate it a sell, and 2 rate it a hold.

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

Highlights from TheStreet Ratings analysis on MPX go as follows:

  • MPX's revenue growth has slightly outpaced the industry average of 6.4%. Since the same quarter one year prior, revenues rose by 13.6%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Leisure Equipment & Products industry. The net income increased by 55.7% when compared to the same quarter one year prior, rising from $1.94 million to $3.01 million.
  • MARINE PRODUCTS CORP reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. Stable earnings per share over the past two years indicate the company has sound management over its earnings and share float. We anticipate the company beginning to experience more growth in the coming year. During the past fiscal year, MARINE PRODUCTS CORP's EPS of $0.19 remained unchanged from the prior years' EPS of $0.19. This year, the market expects an improvement in earnings ($0.28 versus $0.19).
  • Net operating cash flow has significantly increased by 68.14% to -$0.38 million when compared to the same quarter last year. Despite an increase in cash flow of 68.14%, MARINE PRODUCTS CORP is still growing at a significantly lower rate than the industry average of 161.90%.
  • MPX has no debt to speak of therefore resulting in a debt-to-equity ratio of zero, which we consider to be a relatively favorable sign. Although the company had a strong debt-to-equity ratio, its quick ratio of 0.97 is somewhat weak and could be cause for future problems.

You can view the full analysis from the report here: Marine Products Ratings Report

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Active Power ( ACPW) was another company that pushed the Industrial industry lower today. Active Power was down $0.04 (1.9%) to $2.05 on heavy volume. Throughout the day, 97,536 shares of Active Power exchanged hands as compared to its average daily volume of 46,400 shares. The stock ranged in price between $2.03-$2.08 after having opened the day at $2.07 as compared to the previous trading day's close of $2.09.

Active Power, Inc., together with its subsidiaries, designs, manufactures, and sells flywheel-based uninterruptible power supply (UPS) products and modular infrastructure solutions. Active Power has a market cap of $47.6 million and is part of the industrial goods sector. Shares are down 38.9% year-to-date as of the close of trading on Monday. Currently there is 1 analyst who rates Active Power a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Active Power as a sell. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, poor profit margins and weak operating cash flow.

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Highlights from TheStreet Ratings analysis on ACPW go as follows:

  • ACTIVE POWER INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. Earnings per share have declined over the last year. We anticipate that this should continue in the coming year. During the past fiscal year, ACTIVE POWER INC reported poor results of -$0.42 versus -$0.07 in the prior year. For the next year, the market is expecting a contraction of 64.3% in earnings (-$0.69 versus -$0.42).
  • The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Electrical Equipment industry. The net income has significantly decreased by 1429.2% when compared to the same quarter one year ago, falling from $0.33 million to -$4.41 million.
  • Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Electrical Equipment industry and the overall market, ACTIVE POWER INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • The gross profit margin for ACTIVE POWER INC is rather low; currently it is at 21.87%. It has decreased significantly from the same period last year. Along with this, the net profit margin of -43.46% is significantly below that of the industry average.
  • Net operating cash flow has significantly decreased to -$2.32 million or 1085.20% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.

You can view the full analysis from the report here: Active Power Ratings Report

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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