4 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

One out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading up 67 points (0.5%) at 13,019 as of Wednesday, Dec. 5, 2012, 11:50 AM ET. The NYSE advances/declines ratio sits at 1,464 issues advancing vs. 1,407 declining with 149 unchanged.

The Utilities sector currently is unchanged today versus the S&P 500, which is up 0.0%. A company within the sector that fell today was Centrais Eletricas Brasileiras ( EBR.B), up 3.4%. Top gainers within the sector include Edison International ( EIX), up 0.9%, Northeast Utilities ( NU), up 0.9%, Xcel Energy ( XEL), up 0.8% and Korea Electric Power ( KEP), up 0.7%.

TheStreet Ratings group would like to highlight 4 stocks pushing the sector lower today:

4. Centrais Eletricas Brasileiras ( EBR) is one of the companies pushing the Utilities sector lower today. As of noon trading, Centrais Eletricas Brasileiras is down $0.16 (-4.8%) to $3.26 on light volume Thus far, 521,245 shares of Centrais Eletricas Brasileiras exchanged hands as compared to its average daily volume of 1.5 million shares. The stock has ranged in price between $3.20-$3.29 after having opened the day at $3.23 as compared to the previous trading day's close of $3.42.

Centrais Eletricas Brasileiras S.A. Eletrobras, together with its subsidiaries, engages in the generation, transmission, and distribution of electricity in Brazil. Centrais Eletricas Brasileiras has a market cap of $5.3 billion and is part of the utilities industry. Shares are down 64.4% year to date as of the close of trading on Tuesday. Currently there are no analysts that rate Centrais Eletricas Brasileiras a buy, 2 analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Centrais Eletricas Brasileiras as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, a generally disappointing performance in the stock itself and poor profit margins. Get the full Centrais Eletricas Brasileiras Ratings Report now.

EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass

3. As of noon trading, American Water Works ( AWK) is down $0.55 (-1.4%) to $37.42 on average volume Thus far, 545,751 shares of American Water Works exchanged hands as compared to its average daily volume of 794,400 shares. The stock has ranged in price between $37.24-$37.97 after having opened the day at $37.97 as compared to the previous trading day's close of $37.97.

American Water Works Company, Inc., through its subsidiaries, provides water and wastewater services to residential, commercial, industrial, public, and other customers in the United States and Canada. American Water Works has a market cap of $6.7 billion and is part of the utilities industry. The company has a P/E ratio of 17.7, below the S&P 500 P/E ratio of 17.7. Shares are up 19.1% year to date as of the close of trading on Tuesday. Currently there are 12 analysts that rate American Water Works a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates American Water Works as a buy. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, revenue growth, expanding profit margins, good cash flow from operations and solid stock price performance. 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 Water Works Ratings Report now.

EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass

2. As of noon trading, Basic Sanitation Company of the State of Sa ( SBS) is down $0.97 (-1.2%) to $80.72 on light volume Thus far, 138,645 shares of Basic Sanitation Company of the State of Sa exchanged hands as compared to its average daily volume of 407,800 shares. The stock has ranged in price between $80.33-$82.22 after having opened the day at $81.97 as compared to the previous trading day's close of $81.69.

Companhia de Saneamento Basico do Estado de S o Paulo SABESP provides basic and environmental sanitation services; and supplies treated water on a wholesale basis to residential, commercial, industrial, and governmental customers in the State of S o Paulo. Basic Sanitation Company of the State of Sa has a market cap of $9.3 billion and is part of the utilities industry. The company has a P/E ratio of 17.8, above the S&P 500 P/E ratio of 17.7. Shares are up 46.9% year to date as of the close of trading on Tuesday. Currently there is 1 analyst that rates Basic Sanitation Company of the State of Sa a buy, 1 analyst rates it a sell, and 2 rate it a hold.

TheStreet Ratings rates Basic Sanitation Company of the State of Sa as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, revenue growth, notable return on equity and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Basic Sanitation Company of the State of Sa Ratings Report now.

EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass

1. As of noon trading, ONEOK ( OKE) is down $0.30 (-0.7%) to $44.25 on light volume Thus far, 348,074 shares of ONEOK exchanged hands as compared to its average daily volume of 991,900 shares. The stock has ranged in price between $43.92-$44.73 after having opened the day at $44.58 as compared to the previous trading day's close of $44.55.

ONEOK, Inc., a diversified energy company, engages in the gathering, processing, storage, and transportation of natural gas and natural gas liquids in the United States. The company operates through three segments: ONEOK Partners, Natural Gas Distribution, and Energy Services. ONEOK has a market cap of $9.1 billion and is part of the utilities industry. The company has a P/E ratio of 27.1, above the S&P 500 P/E ratio of 17.7. Shares are up 3.0% year to date as of the close of trading on Tuesday. Currently there are 6 analysts that rate ONEOK a buy, no analysts rate it a sell, and 3 rate it a hold.

TheStreet Ratings rates ONEOK as a buy. The company's strengths can be seen in multiple areas, such as its notable return on equity, growth in earnings per share, increase in stock price during the past year 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 ONEOK Ratings Report now.

EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass

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.

null

More from Markets

Canopy Growth Lets Down Eager Pot Investors; PayPal Keeps Dominating -- ICYMI

Canopy Growth Lets Down Eager Pot Investors; PayPal Keeps Dominating -- ICYMI

Dow, S&P 500 and Nasdaq Tumble After Trump Calls Off North Korea Summit

Dow, S&P 500 and Nasdaq Tumble After Trump Calls Off North Korea Summit

Inside Carnival's Mind Blowing New Horizon Cruise Ship (Video)

Inside Carnival's Mind Blowing New Horizon Cruise Ship (Video)

3 Must Reads on the Market From TheStreet's Top Columnists

3 Must Reads on the Market From TheStreet's Top Columnists

Automakers Slump as Trump Tariffs Threaten Both Manufacturers and Consumers

Automakers Slump as Trump Tariffs Threaten Both Manufacturers and Consumers