TRI, NUAN And SYMC, 3 Computer Software & Services Stocks Pushing The Industry 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 up today with the Dow Jones Industrial Average ( ^DJI) trading up 4 points (0.0%) at 14,823 as of Tuesday, April 30, 2013, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,672 issues advancing vs. 1,218 declining with 158 unchanged.

The Computer Software & Services industry currently sits up 0.1% versus the S&P 500, which is unchanged. A company within the industry that fell today was Intuit ( INTU), up 1.95. Top gainers within the industry include Infosys ( INFY), up 2.4%, Wipro ( WIT), up 2.3%, Sap AG ADR ( SAP), up 0.9% and Microsoft Corporation ( MSFT), up 0.6%.

TheStreet Ratings group would like to highlight 3 stocks pushing the industry lower today:

3. Thomson Reuters Corporation ( TRI) is one of the companies pushing the Computer Software & Services industry lower today. As of noon trading, Thomson Reuters Corporation is down $0.71 (-2.1%) to $33.01 on heavy volume Thus far, 1.4 million shares of Thomson Reuters Corporation exchanged hands as compared to its average daily volume of 1.1 million shares. The stock has ranged in price between $32.69-$33.42 after having opened the day at $33.18 as compared to the previous trading day's close of $33.72.

Thomson Reuters Corporation provides intelligent information for businesses and professionals worldwide. It sells electronic content and services to professionals, primarily on a subscription basis. Thomson Reuters Corporation has a market cap of $27.5 billion and is part of the technology sector. The company has a P/E ratio of 13.3, below the S&P 500 P/E ratio of 17.7. Shares are up 14.2% year to date as of the close of trading on Monday.

TheStreet Ratings rates Thomson Reuters Corporation as a hold. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, we find that the company's profit margins have been poor overall. Get the full Thomson Reuters Corporation Ratings Report now.

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2. As of noon trading, Nuance Communications ( NUAN) is down $4.30 (-18.4%) to $19.00 on heavy volume Thus far, 20.7 million shares of Nuance Communications exchanged hands as compared to its average daily volume of 5.5 million shares. The stock has ranged in price between $18.86-$19.75 after having opened the day at $19.66 as compared to the previous trading day's close of $23.30.

Nuance Communications, Inc. provides voice and language solutions for businesses and consumers worldwide. Nuance Communications has a market cap of $7.2 billion and is part of the technology sector. The company has a P/E ratio of 41.4, above the S&P 500 P/E ratio of 17.7. Shares are up 1.9% year to date as of the close of trading on Monday.

TheStreet Ratings rates Nuance Communications as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, good cash flow from operations 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 and unimpressive growth in net income. Get the full Nuance Communications Ratings Report now.

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1. As of noon trading, Symantec ( SYMC) is down $0.29 (-1.2%) to $24.30 on average volume Thus far, 4.1 million shares of Symantec exchanged hands as compared to its average daily volume of 7.6 million shares. The stock has ranged in price between $21.93-$24.54 after having opened the day at $24.48 as compared to the previous trading day's close of $24.59.

Symantec Corporation provides security, storage, and systems management solutions to various organization and consumers worldwide. It operates in four segments: Consumer, Security and Compliance, Storage and Server Management, and Services. Symantec has a market cap of $16.9 billion and is part of the technology sector. The company has a P/E ratio of 15.7, below the S&P 500 P/E ratio of 17.7. Shares are up 29.8% year to date as of the close of trading on Monday.

TheStreet Ratings rates Symantec as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, notable return on equity, attractive valuation levels and good cash flow from operations. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Symantec Ratings Report now.

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If you are interested in one of these 4 stocks, ETFs may be of interest. Investors who are bullish on the computer software & services industry could consider iShares S&P NA Tech Software Idx ( IGV) while those bearish on the computer software & services industry could consider ProShares Ultra Short Technology ( REW).

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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