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.
Exelon (
EXC) pushed the Utilities sector lower today making it today's featured Utilities laggard. The sector as a whole closed the day down 0.3%. By the end of trading, Exelon fell 46 cents (-1.5%) to $29.99 on heavy volume. Throughout the day, 14.3 million shares of Exelon exchanged hands as compared to its average daily volume of 8.9 million shares. The stock ranged in price between $29.90-$30.38 after having opened the day at $30.38 as compared to the previous trading day's close of $30.45. Other companies within the Utilities sector that declined today were:
Centrais Eletricas Brasileiras (
EBR), down 4.3%,
Centrais Eletricas Brasileiras (
EBR.B), down 3.6%,
U.S. Geothermal (
HTM), down 2.6%, and
TransAlta Corporation (
TAC), down 2.6%.
- 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.
Exelon Corporation, a utility services holding company, engages in the energy generation and distribution business in the United States. Exelon has a market cap of $25.94 billion and is part of the utilities industry. The company has a P/E ratio of 16, below the S&P 500 P/E ratio of 17.7. Shares are up 2.1% year to date as of the close of trading on Tuesday. Currently there are three analysts that rate Exelon a buy, no analysts rate it a sell, and 13 rate it a hold.
TheStreet Ratings rates Exelon as a
hold. The company's strengths can be seen in multiple areas, such as its revenue growth and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, feeble growth in the company's earnings per share and deteriorating net income.
For investors not wanting singular stock exposure, 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).
It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.
