3 Stocks Pushing The Diversified Services 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

Two out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading up 15 points (0.1%) at 12,980 as of Tuesday, Dec. 4, 2012, 11:49 AM ET. The NYSE advances/declines ratio sits at 1,319 issues advancing vs. 1,553 declining with 162 unchanged.

The Diversified Services industry currently sits down 0.2% versus the S&P 500, which is down 0.1%. On the negative front, top decliners within the industry include Net 1 Ueps Technologies ( UEPS), down 56.6%, Verisk Analytics ( VRSK), down 2.4%, Western Union Company ( WU), down 0.8% and MasterCard Incorporated ( MA), down 0.9%.

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

3. New Oriental Education & Technology Group I ( EDU) is one of the companies pushing the Diversified Services industry lower today. As of noon trading, New Oriental Education & Technology Group I is down $0.95 (-4.7%) to $19.30 on heavy volume Thus far, 4.0 million shares of New Oriental Education & Technology Group I exchanged hands as compared to its average daily volume of 2.7 million shares. The stock has ranged in price between $18.88-$20.25 after having opened the day at $20.07 as compared to the previous trading day's close of $20.25.

New Oriental Education & Technology Group Inc. provides private educational services primarily in China. New Oriental Education & Technology Group I has a market cap of $3.2 billion and is part of the services sector. The company has a P/E ratio of 19.6, above the S&P 500 P/E ratio of 17.7. Shares are down 16.2% year to date as of the close of trading on Monday. Currently there are 6 analysts that rate New Oriental Education & Technology Group I a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates New Oriental Education & Technology Group I 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 a generally disappointing performance in the stock itself, premium valuation and disappointing return on equity. Get the full New Oriental Education & Technology Group I Ratings Report now.

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