5 Stocks Pushing The Computer Software & Services Industry Higher

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 up today with the Dow Jones Industrial Average ( ^DJI) trading up 163 points (1.2%) at 13,275 as of Tuesday, Nov. 6, 2012, 12:34 PM ET. The NYSE advances/declines ratio sits at 2,126 issues advancing vs. 762 declining with 145 unchanged.

The Computer Software & Services industry currently sits up 0.1% versus the S&P 500, which is up 1.1%. Top gainers within the industry include Computer Sciences Corporation ( CSC), up 16.3%, Salesforce.com ( CRM), up 2.2%, Cognizant Technology Solutions Corporation ( CTSH), up 1.3% and Oracle Corporation ( ORCL), up 1.7%. A company within the industry that fell today was Wipro ( WIT), up 0.7%.

TheStreet Ratings group would like to highlight 5 stocks pushing the industry higher today:

5. Sap AG ADR ( SAP) is one of the companies pushing the Computer Software & Services industry higher today. As of noon trading, Sap AG ADR is up $0.92 (1.3%) to $73.87 on light volume Thus far, 275,925 shares of Sap AG ADR exchanged hands as compared to its average daily volume of 1.3 million shares. The stock has ranged in price between $73.26-$73.91 after having opened the day at $73.33 as compared to the previous trading day's close of $72.95.

SAP AG provides enterprise application software and software-related services worldwide. Sap AG ADR has a market cap of $86.9 billion and is part of the technology sector. The company has a P/E ratio of 19.4, above the S&P 500 P/E ratio of 17.7. Shares are up 37.7% year to date as of the close of trading on Monday. Currently there are 6 analysts that rate Sap AG ADR a buy, 2 analysts rate it a sell, and 12 rate it a hold.

TheStreet Ratings rates Sap AG ADR as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Sap AG ADR Ratings Report now.

4. As of noon trading, Automatic Data Processing ( ADP) is up $1.21 (2.1%) to $57.61 on average volume Thus far, 980,594 shares of Automatic Data Processing exchanged hands as compared to its average daily volume of 1.8 million shares. The stock has ranged in price between $56.47-$57.67 after having opened the day at $56.75 as compared to the previous trading day's close of $56.40.

Automatic Data Processing, Inc. provides business outsourcing solutions. The company operates in three segments: Employer Services, Professional Employer Organization (PEO) Services, and Dealer Services. Automatic Data Processing has a market cap of $27.8 billion and is part of the technology sector. The company has a P/E ratio of 20.3, above the S&P 500 P/E ratio of 17.7. Shares are up 4.4% year to date as of the close of trading on Monday. Currently there are 10 analysts that rate Automatic Data Processing a buy, 2 analysts rate it a sell, and 12 rate it a hold.

TheStreet Ratings rates Automatic Data Processing 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, increase in stock price during the past year, increase in net income and growth in earnings per share. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook. Get the full Automatic Data Processing Ratings Report now.

3. As of noon trading, Citrix Systems ( CTXS) is up $1.86 (3.0%) to $64.78 on heavy volume Thus far, 2.2 million shares of Citrix Systems exchanged hands as compared to its average daily volume of 2.4 million shares. The stock has ranged in price between $62.98-$65.49 after having opened the day at $62.98 as compared to the previous trading day's close of $62.92.

Citrix Systems, Inc. designs, develops, and markets technology solutions to deliver IT services on-demand worldwide. Citrix Systems has a market cap of $11.7 billion and is part of the technology sector. The company has a P/E ratio of 34.3, above the S&P 500 P/E ratio of 17.7. Shares are up 3.4% year to date as of the close of trading on Monday. Currently there are 18 analysts that rate Citrix Systems a buy, 1 analyst rates it a sell, and 8 rate it a hold.

TheStreet Ratings rates Citrix Systems 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 and expanding profit margins. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full Citrix Systems Ratings Report now.

2. As of noon trading, VMWare ( VMW) is up $3.27 (3.6%) to $92.89 on heavy volume Thus far, 1.6 million shares of VMWare exchanged hands as compared to its average daily volume of 2.0 million shares. The stock has ranged in price between $89.17-$93.00 after having opened the day at $89.36 as compared to the previous trading day's close of $89.62.

VMware, Inc. provides virtualization and virtualization-based cloud infrastructure solutions in the United States and internationally. VMWare has a market cap of $11.3 billion and is part of the technology sector. The company has a P/E ratio of 51.9, above the S&P 500 P/E ratio of 17.7. Shares are up 7.7% year to date as of the close of trading on Monday. Currently there are 17 analysts that rate VMWare a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates VMWare as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full VMWare Ratings Report now.

1. As of noon trading, Microsoft Corporation ( MSFT) is up $0.50 (1.7%) to $30.13 on average volume Thus far, 20.9 million shares of Microsoft Corporation exchanged hands as compared to its average daily volume of 43.4 million shares. The stock has ranged in price between $29.61-$30.20 after having opened the day at $29.82 as compared to the previous trading day's close of $29.63.

Microsoft Corporation develops, licenses, and supports software products and services; and designs and sells hardware worldwide. Microsoft Corporation has a market cap of $248.3 billion and is part of the technology sector. The company has a P/E ratio of 15.9, below the S&P 500 P/E ratio of 17.7. Shares are up 14.1% year to date as of the close of trading on Monday. Currently there are 19 analysts that rate Microsoft Corporation a buy, no analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates Microsoft Corporation as a buy. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, attractive valuation levels, increase in stock price during the past year, expanding profit margins and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Microsoft Corporation Ratings Report now.

If you are interested in one of these 5 stocks, ETFs may be of interest. Investors who are bullish on the computer software & services industry could consider iShares S&P NA Tech Software Idx ( IGV) while those bearish on the computer software & services industry could consider ProShares Ultra Short Technology ( REW).

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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