3 Stocks Pushing The Utilities Sector 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 up today with the Dow Jones Industrial Average ( ^DJI) trading up 52 points (0.4%) at 12,867 as of Tuesday, Nov. 13, 2012, 11:54 AM ET. The NYSE advances/declines ratio sits at 1,426 issues advancing vs. 1,481 declining with 120 unchanged.

The Utilities sector currently sits up 0.5% versus the S&P 500, which is up 0.5%. On the negative front, top decliners within the sector include Centrais Eletricas Brasileiras ( EBR.B), down 3.0%, and Centrais Eletricas Brasileiras ( EBR), down 0.6%. Top gainers within the sector include Energy Company of Parana ( ELP), up 3.8%, EQT ( EQT), up 2.6%, Public Service Enterprise Group ( PEG), up 1.7%, ONEOK ( OKE), up 1.5% and PG&E ( PCG), up 1.4%.

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

3. Empresa Nacional de Electricidad ( EOC) is one of the companies pushing the Utilities sector lower today. As of noon trading, Empresa Nacional de Electricidad is down $0.60 (-1.3%) to $46.15 on light volume Thus far, 15,294 shares of Empresa Nacional de Electricidad exchanged hands as compared to its average daily volume of 96,000 shares. The stock has ranged in price between $46.05-$46.41 after having opened the day at $46.18 as compared to the previous trading day's close of $46.75.

Empresa Nacional de Electricidad S.A., together with its subsidiaries, engages in the generation, transmission, production, and distribution of electricity. Empresa Nacional de Electricidad has a market cap of $12.8 billion and is part of the utilities industry. The company has a P/E ratio of 20.6, above the S&P 500 P/E ratio of 17.7. Shares are up 5.3% year to date as of the close of trading on Monday. Currently there is 1 analyst that rates Empresa Nacional de Electricidad a buy, 1 analyst rates it a sell, and none rate it a hold.

TheStreet Ratings rates Empresa Nacional de Electricidad as a hold. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures and notable return on equity. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, weak operating cash flow and poor profit margins. Get the full Empresa Nacional de Electricidad Ratings Report now.

2. As of noon trading, Enersis ( ENI) is down $0.11 (-0.7%) to $16.57 on light volume Thus far, 64,075 shares of Enersis exchanged hands as compared to its average daily volume of 442,400 shares. The stock has ranged in price between $16.54-$16.68 after having opened the day at $16.66 as compared to the previous trading day's close of $16.68.

Enersis S.A., an electric utility company, engages in the electricity generation, transmission, and distribution businesses in Chile, Argentina, Brazil, Colombia, and Peru. Enersis has a market cap of $11.0 billion and is part of the utilities industry. The company has a P/E ratio of 11.3, below the S&P 500 P/E ratio of 17.7. Shares are down 4.6% year to date as of the close of trading on Monday. Currently there are no analysts that rate Enersis a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Enersis as a hold. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. 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 Enersis Ratings Report now.

1. As of noon trading, Korea Electric Power ( KEP) is down $0.16 (-1.3%) to $12.14 on light volume Thus far, 109,320 shares of Korea Electric Power exchanged hands as compared to its average daily volume of 623,500 shares. The stock has ranged in price between $12.09-$12.15 after having opened the day at $12.10 as compared to the previous trading day's close of $12.30.

Korea Electric Power Corporation, an integrated electric utility company, engages in the generation, transmission, and distribution of electricity in Korea. The company generates power from nuclear, coal, oil, liquefied natural gas, hydro, wind, and solar sources. Korea Electric Power has a market cap of $15.7 billion and is part of the utilities industry. The company has a P/E ratio of 21.9, above the S&P 500 P/E ratio of 17.7. Shares are up 12.0% year to date as of the close of trading on Monday. Currently there is 1 analyst that rates Korea Electric Power a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Korea Electric Power as a sell. The company's weaknesses can be seen in multiple areas, such as its poor profit margins and generally disappointing historical performance in the stock itself. Get the full Korea Electric Power Ratings Report now.

If you are interested in one of these 5 stocks, ETFs may be of interest. Investors who are bullish on the utilities sector could consider Utilities Select Sector SPDR ( XLU) while those bearish on the utilities sector could consider ProShares UltraShort Utilities ( SDP).

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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