Liberty Media Corporation (LMCA): Today's Featured Services Winner

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.

Liberty Media Corporation ( LMCA) pushed the Services sector higher today making it today's featured services winner. The sector as a whole closed the day down 0.4%. By the end of trading, Liberty Media Corporation rose $2.07 (1.9%) to $113.30 on average volume. Throughout the day, 541,994 shares of Liberty Media Corporation exchanged hands as compared to its average daily volume of 706,800 shares. The stock ranged in a price between $110.93-$114.19 after having opened the day at $111.28 as compared to the previous trading day's close of $111.23. Other companies within the Services sector that increased today were: Orient-Express Hotels ( OEH), up 22.5%, China Yida ( CNYD), up 19%, Wesco International ( WCC), up 13.9%, and ALCO Stores ( ALCS), up 11.1%.
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Liberty Media Corporation, through its subsidiaries, engages in media, communications, and entertainment businesses primarily in North America. Liberty Media Corporation has a market cap of $12.16 billion and is part of the media industry. The company has a P/E ratio of 20.7, equal to the average media industry P/E ratio and above the S&P 500 P/E ratio of 17.7. Shares are up 42.5% year to date as of the close of trading on Wednesday. Currently there are six analysts that rate Liberty Media Corporation a buy, no analysts rate it a sell, and three rate it a hold.

TheStreet Ratings rates Liberty Media Corporation as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, largely solid financial position with reasonable debt levels by most measures, expanding profit margins and good cash flow from operations. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

On the negative front, School Specialty ( SCHS), down 12.7%, LodgeNet Interactive Corporation ( LNET), down 11.8%, Dex One ( DEXO), down 11.3%, and McClatchy Company ( MNI), down 9.7%, were all laggards within the services sector with Dollar Thrifty Automotive Group ( DTG) being today's services sector laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the services sector could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the services sector could consider ProShares Ultra Short Consumer Sers ( SCC).

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