5 Stocks Dragging In The Consumer Goods Sector
Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model
All three major indices are trading down today with the Dow Jones Industrial Average (^DJI) trading down 52 points (-0.4%) at 14,567 as of Thursday, April 18, 2013, 12:45 PM ET. The NYSE advances/declines ratio sits at 1,288 issues advancing vs. 1,600 declining with 135 unchanged.
The Consumer Goods sector currently sits down 0.34 versus the S&P 500, which is down 0.48. On the negative front, top decliners within the sector include Coca-Cola Hellenic Bottling Company S.A (CCH), down 8.12, International Paper (IP), down 2.00, Honda Motor (HMC), down 0.78 and Toyota Motor (TM), down 0.60.
TheStreet Ratings group would like to highlight 5 stocks pushing the sector lower today:
5. Nike (NKE) is one of the companies pushing the Consumer Goods sector lower today. As of noon trading, Nike is down $1.02 (-1.7%) to $59.88 on average volume Thus far, 1.6 million shares of Nike exchanged hands as compared to its average daily volume of 4.0 million shares. The stock has ranged in price between $59.70-$61.20 after having opened the day at $60.97 as compared to the previous trading day's close of $60.90.
NIKE, Inc., together with its subsidiaries, engages in the design, development, marketing, and sale of footwear, apparel, equipment, and accessories for men, women, and children worldwide. Nike has a market cap of $43.3 billion and is part of the consumer non-durables industry. The company has a P/E ratio of 12.5, below the S&P 500 P/E ratio of 17.7. Shares are up 18.0% year to date as of the close of trading on Wednesday.
TheStreet Ratings rates Nike 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, growth in earnings per share, increase in net income and expanding profit margins. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Nike Ratings Report now.
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