5 Stocks Pushing The Financial 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

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 Financial sector currently sits down 0.2% versus the S&P 500, which is down 0.1%. On the negative front, top decliners within the sector include CME Group ( CME), down 1.8%, KeyCorp ( KEY), down 1.6%, U.S. Bancorp ( USB), down 1.3%, Fifth Third Bancorp ( FITB), down 1.5% and PNC Financial Services Group ( PNC), down 1.3%. Top gainers within the sector include Deutsche Bank ( DB), up 1.8%, Orix Corporation ( IX), up 1.2%, Royal Bank of Scotland Group (The ( RBS), up 1.2%, Aegon ( AEG), up 1.1% and Banco Santander S.A ( SAN), up 0.8%.

TheStreet Ratings group would like to highlight 5 stocks pushing the sector lower today:

5. Discover Financial Services ( DFS) is one of the companies pushing the Financial sector lower today. As of noon trading, Discover Financial Services is down $0.24 (-0.6%) to $40.99 on light volume Thus far, 851,569 shares of Discover Financial Services exchanged hands as compared to its average daily volume of 4.2 million shares. The stock has ranged in price between $40.91-$41.34 after having opened the day at $41.22 as compared to the previous trading day's close of $41.23.

Discover Financial Services, a bank holding company, offers direct banking and payment services in the United States. It operates in two segments, Direct Banking and Payment Services. Discover Financial Services has a market cap of $21.0 billion and is part of the financial services industry. The company has a P/E ratio of 9.6, below the S&P 500 P/E ratio of 17.7. Shares are up 73.4% year to date as of the close of trading on Monday. Currently there are 12 analysts that rate Discover Financial Services a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Discover Financial Services as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, revenue growth, growth in earnings per share, expanding profit margins and good cash flow from operations. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full Discover Financial Services Ratings Report now.

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4. As of noon trading, Prudential Financial ( PRU) is down $0.32 (-0.6%) to $51.64 on light volume Thus far, 709,004 shares of Prudential Financial exchanged hands as compared to its average daily volume of 3.8 million shares. The stock has ranged in price between $51.51-$52.08 after having opened the day at $51.74 as compared to the previous trading day's close of $51.96.

Prudential Financial, Inc., through its subsidiaries, provides various financial products and services, including life insurance, annuities, retirement-related services, mutual funds, and investment management services in the United States, Asia, Europe, and Latin America. Prudential Financial has a market cap of $24.1 billion and is part of the insurance industry. The company has a P/E ratio of 20.7, above the S&P 500 P/E ratio of 17.7. Shares are up 4.0% year to date as of the close of trading on Monday. Currently there are 12 analysts that rate Prudential Financial a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Prudential Financial as a hold. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, good cash flow from operations and increase in stock price during the past year. 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 Prudential Financial Ratings Report now.

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3. As of noon trading, American Express ( AXP) is down $0.26 (-0.5%) to $55.73 on light volume Thus far, 1.2 million shares of American Express exchanged hands as compared to its average daily volume of 5.3 million shares. The stock has ranged in price between $55.47-$56.19 after having opened the day at $55.90 as compared to the previous trading day's close of $55.99.

American Express Company provides charge and credit payment card products and travel-related services to customers worldwide. American Express has a market cap of $62.6 billion and is part of the financial services industry. The company has a P/E ratio of 12.9, below the S&P 500 P/E ratio of 17.7. Shares are up 18.7% year to date as of the close of trading on Monday. Currently there are 11 analysts that rate American Express a buy, 1 analyst rates it a sell, and 8 rate it a hold.

TheStreet Ratings rates American Express as a buy. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, revenue growth, increase in net income, solid stock price performance and good cash flow from operations. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full American Express Ratings Report now.

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2. As of noon trading, Goldman Sachs Group ( GS) is down $1.49 (-1.3%) to $116.91 on light volume Thus far, 1.2 million shares of Goldman Sachs Group exchanged hands as compared to its average daily volume of 4.4 million shares. The stock has ranged in price between $116.70-$118.39 after having opened the day at $118.11 as compared to the previous trading day's close of $118.40.

The Goldman Sachs Group, Inc. provides investment banking, securities, and investment management services, as well as a range of financial services to corporations, financial institutions, governments and high-net-worth individuals worldwide. Goldman Sachs Group has a market cap of $55.4 billion and is part of the financial services industry. The company has a P/E ratio of 11.3, below the S&P 500 P/E ratio of 17.7. Shares are up 30.3% year to date as of the close of trading on Monday. Currently there are 7 analysts that rate Goldman Sachs Group a buy, 1 analyst rates it a sell, and 12 rate it a hold.

TheStreet Ratings rates Goldman Sachs Group as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, attractive valuation levels, expanding profit margins and good cash flow from operations. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results. Get the full Goldman Sachs Group Ratings Report now.

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1. As of noon trading, JPMorgan Chase ( JPM) is down $0.18 (-0.4%) to $40.63 on light volume Thus far, 6.6 million shares of JPMorgan Chase exchanged hands as compared to its average daily volume of 24.1 million shares. The stock has ranged in price between $40.52-$40.92 after having opened the day at $40.84 as compared to the previous trading day's close of $40.81.

JPMorgan Chase & Co., a financial holding company, provides various financial services worldwide. JPMorgan Chase has a market cap of $156.2 billion and is part of the banking industry. The company has a P/E ratio of 8.7, below the S&P 500 P/E ratio of 17.7. Shares are up 23.5% year to date as of the close of trading on Monday. Currently there are 19 analysts that rate JPMorgan Chase a buy, 2 analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates JPMorgan Chase as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins, solid stock price performance, growth in earnings per share and increase in net income. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full JPMorgan Chase Ratings Report now.

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If you are interested in one of these 5 stocks, ETFs may be of interest. Investors who are bullish on the financial sector could consider Financial Select Sector SPDR ( XLF) while those bearish on the financial sector could consider Proshares Short Financials ( SEF).

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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