3 Stocks Pulling The Energy Industry Downward
1. As of noon trading, BP ( BP) is down $0.22 (-0.5%) to $42.04 on average volume Thus far, 2.7 million shares of BP exchanged hands as compared to its average daily volume of 7.3 million shares. The stock has ranged in price between $41.85-$42.41 after having opened the day at $42.33 as compared to the previous trading day's close of $42.26. BP p.l.c. provides fuel for transportation, energy for heat and light, lubricants to engines, and petrochemicals products. BP has a market cap of $135.0 billion and is part of the basic materials sector. The company has a P/E ratio of 423.2, above the S&P 500 P/E ratio of 17.7. Shares are up 1.5% year to date as of the close of trading on Wednesday. Currently there are 7 analysts that rate BP a buy, 1 analyst rates it a sell, and 6 rate it a hold. TheStreet Ratings rates BP as a hold. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and poor profit margins. Get the full BP Ratings Report now. It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE If you are interested in one of these 5 stocks, ETFs may be of interest. Investors who are bullish on the energy industry could consider Energy Select Sector SPDR ( XLE) while those bearish on the energy industry could consider Proshares Short Oil & Gas ( DDG). A reminder about TheStreet Ratings group: 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.
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