3 Stocks Pushing The Leisure Industry Lower

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 20 points (-0.2%) at 12,795 as of Monday, Nov. 12, 2012, 11:49 AM ET. The NYSE advances/declines ratio sits at 1,283 issues advancing vs. 1,555 declining with 129 unchanged.

The Leisure industry currently sits down 0.3% versus the S&P 500, which is down 0.1%.

TheStreet Ratings group would like to highlight 3 stocks pushing the industry lower today:

3. Pinnacle Entertainment ( PNK) is one of the companies pushing the Leisure industry lower today. As of noon trading, Pinnacle Entertainment is down $0.85 (-6.8%) to $11.70 on heavy volume Thus far, 643,090 shares of Pinnacle Entertainment exchanged hands as compared to its average daily volume of 567,800 shares. The stock has ranged in price between $11.66-$12.50 after having opened the day at $12.41 as compared to the previous trading day's close of $12.55.

Pinnacle Entertainment, Inc. owns, develops, and operates casinos, and related hospitality and entertainment facilities in the United States. It operates casinos, such as L'Auberge Lake Charles in Lake Charles, Louisiana; River City Casino and Lumiere Place Casino, and Hotels in St. Pinnacle Entertainment has a market cap of $776.2 million and is part of the services sector. The company has a P/E ratio of 12.7, below the S&P 500 P/E ratio of 17.7. Shares are up 22.7% year to date as of the close of trading on Friday. Currently there are 11 analysts that rate Pinnacle Entertainment a buy, 1 analyst rates it a sell, and 4 rate it a hold.

TheStreet Ratings rates Pinnacle Entertainment as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, compelling growth in net income and expanding profit margins. However, as a counter to these strengths, we find that the company has favored debt over equity in the management of its balance sheet. Get the full Pinnacle Entertainment Ratings Report now.

2. As of noon trading, MGM Resorts International ( MGM) is down $0.28 (-2.8%) to $9.73 on average volume Thus far, 3.7 million shares of MGM Resorts International exchanged hands as compared to its average daily volume of 9.2 million shares. The stock has ranged in price between $9.73-$10.06 after having opened the day at $10.05 as compared to the previous trading day's close of $10.01.

MGM Resorts International, through its subsidiaries, owns and operates casino resorts. Its casino resorts offer gaming, hotel, convention, dining, entertainment, retail, and other resort amenities. MGM Resorts International has a market cap of $4.8 billion and is part of the services sector. The company has a P/E ratio of -7.4, below the S&P 500 P/E ratio of 17.7. Shares are down 6.2% year to date as of the close of trading on Friday. Currently there are 12 analysts that rate MGM Resorts International a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates MGM Resorts International as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, generally high debt management risk, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share. Get the full MGM Resorts International Ratings Report now.

1. As of noon trading, Wynn Resorts ( WYNN) is down $0.84 (-0.8%) to $107.51 on light volume Thus far, 473,889 shares of Wynn Resorts exchanged hands as compared to its average daily volume of 1.6 million shares. The stock has ranged in price between $107.45-$109.15 after having opened the day at $108.67 as compared to the previous trading day's close of $108.35.

Wynn Resorts, Limited, together with its subsidiaries, engages in the development, ownership, and operation of destination casino resorts. Wynn Resorts has a market cap of $11.0 billion and is part of the services sector. The company has a P/E ratio of 21.3, above the S&P 500 P/E ratio of 17.7. Shares are down 1.9% year to date as of the close of trading on Friday. Currently there are 10 analysts that rate Wynn Resorts a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Wynn Resorts as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income and a generally disappointing performance in the stock itself. Get the full Wynn Resorts Ratings Report now.

If you are interested in one of these 3 stocks, ETFs may be of interest. Investors who are bullish on the leisure industry could consider PowerShares Dynamic Leisure&Entert ( PEJ) while those bearish on the leisure industry could consider ProShares Ultra Sht Consumer Services ( SCC).

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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