5 Stocks Pushing The Services Sector 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 59 points (0.4%) at 13,940 as of Friday, Feb. 22, 2013, 11:49 AM ET. The NYSE advances/declines ratio sits at 1,920 issues advancing vs. 903 declining with 157 unchanged.

The Services sector currently sits up 0.3% versus the S&P 500, which is up 0.5%. Top gainers within the sector include HMS Holdings Corporation ( HMSY), up 7.2%, Charter Communications ( CHTR), up 7.1%, J.C. Penney ( JCP), up 4.9%, Trinity Industries ( TRN), up 3.6% and Delhaize Group ( DEG), up 3.4%. On the negative front, top decliners within the sector include Netflix ( NFLX), down 2.5%, Brazilian Distribution Company ( CBD), down 1.7%, Net Servicos De Comunicacao ( NETC), down 1.4%, Gap ( GPS), down 1.4% and Grupo Televisa S.A ( TV), down 1.4%.

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

5. CSX ( CSX) is one of the companies pushing the Services sector higher today. As of noon trading, CSX is up $0.14 (0.6%) to $22.69 on light volume Thus far, 2.0 million shares of CSX exchanged hands as compared to its average daily volume of 9.3 million shares. The stock has ranged in price between $22.51-$22.75 after having opened the day at $22.63 as compared to the previous trading day's close of $22.55.

CSX Corporation, together with its subsidiaries, provides rail-based transportation services. It offers traditional rail service and the transport of intermodal containers and trailers. CSX has a market cap of $23.3 billion and is part of the transportation industry. The company has a P/E ratio of 12.7, below the S&P 500 P/E ratio of 17.7. Shares are up 15.7% year to date as of the close of trading on Thursday. Currently there are 12 analysts that rate CSX a buy, no analysts rate it a sell, and 13 rate it a hold.

TheStreet Ratings rates CSX as a buy. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, expanding profit margins, increase in stock price during the past year and notable return on equity. 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 CSX Ratings Report now.

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4. As of noon trading, Union Pacific ( UNP) is up $0.69 (0.5%) to $134.94 on light volume Thus far, 547,136 shares of Union Pacific exchanged hands as compared to its average daily volume of 1.8 million shares. The stock has ranged in price between $134.01-$135.48 after having opened the day at $134.50 as compared to the previous trading day's close of $134.25.

Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, provides rail transportation services in North America. Union Pacific has a market cap of $63.2 billion and is part of the transportation industry. The company has a P/E ratio of 16.3, below the S&P 500 P/E ratio of 17.7. Shares are up 7.2% year to date as of the close of trading on Thursday. Currently there are 18 analysts that rate Union Pacific a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Union Pacific as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, growth in earnings per share, increase in net income and notable return on equity. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results. Get the full Union Pacific Ratings Report now.

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3. As of noon trading, Home Depot ( HD) is up $1.00 (1.6%) to $65.38 on average volume Thus far, 2.9 million shares of Home Depot exchanged hands as compared to its average daily volume of 6.4 million shares. The stock has ranged in price between $64.50-$65.47 after having opened the day at $64.89 as compared to the previous trading day's close of $64.38.

The Home Depot, Inc., together with its subsidiaries, operates as a home improvement retailer. The company's stores sell building materials, and home improvement and lawn and garden products to do-it-yourself, do-it-for-me (at D-I-F-M), and professional customers. Home Depot has a market cap of $99.3 billion and is part of the retail industry. The company has a P/E ratio of 23.6, above the S&P 500 P/E ratio of 17.7. Shares are up 7.4% year to date as of the close of trading on Thursday. Currently there are 11 analysts that rate Home Depot a buy, no analysts rate it a sell, and 12 rate it a hold.

TheStreet Ratings rates Home Depot as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share, revenue growth, notable return on equity 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 Home Depot Ratings Report now.

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2. As of noon trading, News Corporation ( NWSA) is up $0.17 (0.6%) to $28.42 on light volume Thus far, 5.5 million shares of News Corporation exchanged hands as compared to its average daily volume of 17.3 million shares. The stock has ranged in price between $28.27-$28.56 after having opened the day at $28.34 as compared to the previous trading day's close of $28.25.

News Corporation operates as a diversified media company worldwide. News Corporation has a market cap of $43.8 billion and is part of the media industry. The company has a P/E ratio of 16.6, below the S&P 500 P/E ratio of 17.7. Shares are up 12.5% year to date as of the close of trading on Thursday. Currently there are 17 analysts that rate News Corporation a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates News Corporation as a buy. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity and attractive valuation levels. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results. Get the full News Corporation Ratings Report now.

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1. As of noon trading, McDonald's Corporation ( MCD) is up $0.50 (0.5%) to $94.64 on light volume Thus far, 1.5 million shares of McDonald's Corporation exchanged hands as compared to its average daily volume of 5.4 million shares. The stock has ranged in price between $93.85-$94.64 after having opened the day at $94.27 as compared to the previous trading day's close of $94.14.

McDonald's Corporation franchises and operates McDonald's restaurants in the global restaurant industry. Its restaurants offer various food items, soft drinks, coffee, and other beverages. The company operates approximately 34,000 restaurants in 120 countries around the world. McDonald's Corporation has a market cap of $94.3 billion and is part of the leisure industry. The company has a P/E ratio of 17.5, below the S&P 500 P/E ratio of 17.7. Shares are up 6.5% year to date as of the close of trading on Thursday. Currently there are 15 analysts that rate McDonald's Corporation a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates McDonald's Corporation as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income, growth in earnings per share and expanding profit margins. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full McDonald's Corporation 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 services sector could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the services sector 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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