Boston, MA 03/24/2014 (wallstreetpr) – Cemex SAB de CV (ADR) (NYSE:CX) a Mexico based company engaged in the manufacture of cement was up on Friday’s trading session after Longbow research upgraded the company stock to a “Buy”. The construction industry has been blossoming since the beginning of the year, with the trend expected to continue in the entire year.
TheStreet rating team currently rate Cemex SAB de CV (ADR) (NYSE:CX) stock as a “Hold” with a rating score of C as the company continues to show significant strength and weaknesses. Cemex has enjoyed a positive pattern of growth in earnings per share in its recent quarters as well as growth in Net income and revenue. The strengths are on the other hand offset by weaknesses in key areas such as poor profit margins.
Highlights of the “Hold” rating
The company’s earnings per share have grown by over 46.8% in its recent quarter compared to that of the same quarter the prior year. The trend is expected to continue, which is a sign of strength in the industry.
Net income growth has on the other hand exceeded that of the industry average as well as the S&P 500 index. Cemex SAB de CV (ADR) (NYSE:CX)’s net income increased by 47% to a high of $485.47 million in its recent quarter compared to a low of $257.16 million reported for the same quarter the prior year.
Cemexs’ stock has slightly lagged compared to where it was last year same period, with its appreciation consequently lagging that of the S&P 500 index. Its return on equity has improved compared to where it was last year same period, acting as one of the key strengths compared to other industry players.
Cemexs’ growth margin is an underperformer compared to that of the industry average coming in at 32.16%.
Cemex SAB de CV (ADR) (NYSE:CX) closed the week on a high, going up by 3.61% on Friday to close at $12.91.
