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

Two out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading down 57 points (-0.4%) at 13,942 as of Monday, Feb. 25, 2013, 12:05 PM ET. The NYSE advances/declines ratio sits at 1,301 issues advancing vs. 1,576 declining with 144 unchanged.

The Services sector currently sits down 0.1% versus the S&P 500, which is down 0.3%. Top gainers within the sector include Hertz Global Holdings ( HTZ), up 6.8%, Netflix ( NFLX), up 2.7%, Delta Air Lines ( DAL), up 2.6%, Staples ( SPLS), up 2.0% and Las Vegas Sands ( LVS), up 1.9%. On the negative front, top decliners within the sector include Nordstrom ( JWN), down 1.5%, Dollar Tree Stores ( DLTR), down 1.1%, Ross Stores ( ROST), down 1.1% and MasterCard Incorporated ( MA), down 0.7%.

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

5. Canadian National Railway ( CNI) is one of the companies pushing the Services sector higher today. As of noon trading, Canadian National Railway is up $0.91 (0.9%) to $98.93 on average volume Thus far, 235,388 shares of Canadian National Railway exchanged hands as compared to its average daily volume of 514,200 shares. The stock has ranged in price between $98.04-$99.13 after having opened the day at $98.08 as compared to the previous trading day's close of $98.02.

Canadian National Railway Company, together with its subsidiaries, engages in rail and related transportation business in North America. Canadian National Railway has a market cap of $42.1 billion and is part of the transportation industry. The company has a P/E ratio of 15.9, below the S&P 500 P/E ratio of 17.7. Shares are up 8.0% year to date as of the close of trading on Friday. Currently there are 3 analysts that rate Canadian National Railway a buy, 2 analysts rate it a sell, and 17 rate it a hold.

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

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4. As of noon trading, Royal Caribbean Cruises ( RCL) is up $0.85 (2.5%) to $34.58 on average volume Thus far, 1.5 million shares of Royal Caribbean Cruises exchanged hands as compared to its average daily volume of 2.0 million shares. The stock has ranged in price between $33.92-$34.79 after having opened the day at $33.93 as compared to the previous trading day's close of $33.73.

Royal Caribbean Cruises Ltd. operates in the cruise vacation industry worldwide. It owns five cruise brands, which comprise Royal Caribbean International, Celebrity Cruises, Pullmantur, Azamara Club Cruises, and CDF Croisieres de France. Royal Caribbean Cruises has a market cap of $7.4 billion and is part of the leisure industry. The company has a P/E ratio of 422.9, above the S&P 500 P/E ratio of 17.7. Shares are down 0.8% year to date as of the close of trading on Friday. Currently there are 7 analysts that rate Royal Caribbean Cruises a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Royal Caribbean Cruises as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and disappointing return on equity. Get the full Royal Caribbean Cruises Ratings Report now.

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3. As of noon trading, Melco Crown Entertainment ( MPEL) is up $0.53 (2.8%) to $19.56 on average volume Thus far, 2.6 million shares of Melco Crown Entertainment exchanged hands as compared to its average daily volume of 5.2 million shares. The stock has ranged in price between $19.50-$20.09 after having opened the day at $19.74 as compared to the previous trading day's close of $19.03.

Melco Crown Entertainment Limited, through its subsidiaries, engages in the development, ownership, and operation of casino gaming and entertainment resort facilities primarily in Macau. Melco Crown Entertainment has a market cap of $10.3 billion and is part of the leisure industry. The company has a P/E ratio of 34.1, above the S&P 500 P/E ratio of 17.7. Shares are up 11.5% year to date as of the close of trading on Friday. Currently there are 11 analysts that rate Melco Crown Entertainment a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Melco Crown Entertainment as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, increase in net income, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Melco Crown Entertainment Ratings Report now.

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2. As of noon trading, Canadian Pacific Railway ( CP) is up $0.65 (0.6%) to $118.96 on light volume Thus far, 275,218 shares of Canadian Pacific Railway exchanged hands as compared to its average daily volume of 845,600 shares. The stock has ranged in price between $118.04-$119.45 after having opened the day at $118.33 as compared to the previous trading day's close of $118.31.

Canadian Pacific Railway Limited, through its subsidiaries, operates as a transcontinental railway providing freight transportation services, logistics solutions, and supply chain expertise in Canada and the United States. Canadian Pacific Railway has a market cap of $20.2 billion and is part of the transportation industry. The company has a P/E ratio of 41.6, above the S&P 500 P/E ratio of 17.7. Shares are up 15.0% year to date as of the close of trading on Friday. Currently there are 4 analysts that rate Canadian Pacific Railway a buy, 2 analysts rate it a sell, and 15 rate it a hold.

TheStreet Ratings rates Canadian Pacific Railway as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, solid stock price performance and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had somewhat weak growth in earnings per share. Get the full Canadian Pacific Railway Ratings Report now.

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1. As of noon trading, United Continental Holdings ( UAL) is up $0.42 (1.6%) to $26.78 on average volume Thus far, 2.1 million shares of United Continental Holdings exchanged hands as compared to its average daily volume of 4.5 million shares. The stock has ranged in price between $26.54-$27.22 after having opened the day at $26.58 as compared to the previous trading day's close of $26.36.

United Continental Holdings, Inc., through its subsidiaries, engages in the provision of passenger and cargo air transportation services. United Continental Holdings has a market cap of $8.6 billion and is part of the transportation industry. Shares are up 10.2% year to date as of the close of trading on Friday. Currently there are 7 analysts that rate United Continental Holdings a buy, 1 analyst rates it a sell, and 4 rate it a hold.

TheStreet Ratings rates United Continental Holdings as a hold. The company's strongest point has been its expanding profit margins. At the same time, however, we also find weaknesses including deteriorating net income and feeble growth in the company's earnings per share. Get the full United Continental Holdings 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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