4 Stocks Pushing The Diversified 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 154 points (1.2%) at 12,742 as of Monday, Nov. 19, 2012, 11:50 AM ET. The NYSE advances/declines ratio sits at 2,629 issues advancing vs. 338 declining with 70 unchanged.

The Diversified Services industry currently sits up 1.0% versus the S&P 500, which is up 1.5%. Top gainers within the industry include MasterCard Incorporated ( MA), up 1.6%, Visa ( V), up 1.6%, SBA Communications ( SBAC), up 1.4% and Accenture ( ACN), up 1.1%.

TheStreet Ratings group would like to highlight 4 stocks pushing the industry higher today:

4. AthenaHealth ( ATHN) is one of the companies pushing the Diversified Services industry higher today. As of noon trading, AthenaHealth is up $3.82 (6.3%) to $64.54 on average volume Thus far, 378,195 shares of AthenaHealth exchanged hands as compared to its average daily volume of 507,500 shares. The stock has ranged in price between $62.57-$65.15 after having opened the day at $62.60 as compared to the previous trading day's close of $60.72.

athenahealth, Inc., a business services company, provides ongoing billing, clinical-related, and other related services to medical group practices primarily in the United States. The company provides services through the athenaNet, a proprietary Internet-based practice management application. AthenaHealth has a market cap of $2.1 billion and is part of the services sector. The company has a P/E ratio of 115.6, above the S&P 500 P/E ratio of 17.7. Shares are up 17.7% year to date as of the close of trading on Friday. Currently there are 5 analysts that rate AthenaHealth a buy, 2 analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates AthenaHealth as a hold. 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 growth in earnings per share. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, premium valuation and weak operating cash flow. Get the full AthenaHealth Ratings Report now.

3. As of noon trading, Fortune Brands Home & Security ( FBHS) is up $1.17 (4.3%) to $28.07 on average volume Thus far, 629,087 shares of Fortune Brands Home & Security exchanged hands as compared to its average daily volume of 1.6 million shares. The stock has ranged in price between $27.26-$28.76 after having opened the day at $27.28 as compared to the previous trading day's close of $26.90.

Fortune Brands Home & Security, Inc. provides home and security products for use in residential home repair, remodeling, new construction, and security and storage applications. Fortune Brands Home & Security has a market cap of $4.4 billion and is part of the consumer goods sector. The company has a P/E ratio of 179.2, above the S&P 500 P/E ratio of 17.7. Shares are up 57.8% year to date as of the close of trading on Friday. Currently there are 2 analysts that rate Fortune Brands Home & Security a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Fortune Brands Home & Security as a hold. The company's strengths can be seen in multiple areas, such as its solid stock price performance, revenue growth and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we find that the growth in the company's earnings per share has not been good. Get the full Fortune Brands Home & Security Ratings Report now.

2. As of noon trading, Moody's Corporation ( MCO) is up $0.81 (1.8%) to $45.81 on average volume Thus far, 931,223 shares of Moody's Corporation exchanged hands as compared to its average daily volume of 1.8 million shares. The stock has ranged in price between $45.57-$46.61 after having opened the day at $46.14 as compared to the previous trading day's close of $45.00.

Moody's Corporation, through its subsidiaries, provides credit ratings, research, and analysis covering fixed-income securities, other debt instruments, and the entities that issue such instruments in the global capital markets. Moody's Corporation has a market cap of $10.3 billion and is part of the services sector. The company has a P/E ratio of 16.6, below the S&P 500 P/E ratio of 17.7. Shares are up 36.7% year to date as of the close of trading on Friday. Currently there are 3 analysts that rate Moody's Corporation a buy, no analysts rate it a sell, and 3 rate it a hold.

TheStreet Ratings rates Moody's Corporation as a buy. The company's strengths can be seen in multiple areas, such as its notable return on equity, revenue growth, growth in earnings per share, increase in net income and expanding profit margins. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value. Get the full Moody's Corporation Ratings Report now.

1. As of noon trading, United Rentals ( URI) is up $1.50 (3.9%) to $40.45 on light volume Thus far, 687,878 shares of United Rentals exchanged hands as compared to its average daily volume of 3.1 million shares. The stock has ranged in price between $39.74-$40.87 after having opened the day at $39.90 as compared to the previous trading day's close of $38.95.

United Rentals, Inc., through its subsidiaries, operates as an equipment rental company. It offers approximately 3,000 classes of equipment for rent to customers comprising construction and industrial companies, manufacturers, utilities, municipalities, homeowners, and government entities. United Rentals has a market cap of $3.5 billion and is part of the services sector. The company has a P/E ratio of 50.4, above the S&P 500 P/E ratio of 17.7. Shares are up 31.8% year to date as of the close of trading on Friday. Currently there are 8 analysts that rate United Rentals a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates United Rentals as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in net income and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk, disappointing return on equity and weak operating cash flow. Get the full United Rentals Ratings Report now.

If you are interested in one of these 4 stocks, ETFs may be of interest. Investors who are bullish on the diversified services industry could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the diversified services industry could consider ProShares Ultra Short Consumer Sers ( 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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