3 Technology Stocks Dragging The Sector Down

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 161 points (1.1%) at 14,992 as of Friday, May 3, 2013, 12:50 PM ET. The NYSE advances/declines ratio sits at 2,292 issues advancing vs. 653 declining with 100 unchanged.

The Technology sector currently sits up 1.6% versus the S&P 500, which is up 1.2%. On the negative front, top decliners within the sector include BT Group ( BT), down 1.12, and AT&T ( T), down 0.64. Top gainers within the sector include CGG ( CGG), up 12.2%, Eaton Corporation ( ETN), up 4.0%, SanDisk ( SNDK), up 4.0%, Corning ( GLW), up 3.9% and Seagate Technology ( STX), up 3.6%.

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

3. Telekomunikasi Indonesia (Persero) Tbk ( TLK) is one of the companies pushing the Technology sector lower today. As of noon trading, Telekomunikasi Indonesia (Persero) Tbk is down $1.15 (-2.4%) to $46.85 on light volume Thus far, 47,572 shares of Telekomunikasi Indonesia (Persero) Tbk exchanged hands as compared to its average daily volume of 215,800 shares. The stock has ranged in price between $46.76-$47.10 after having opened the day at $47.01 as compared to the previous trading day's close of $48.00.

Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk provides network and telecommunication services in Indonesia and internationally. It operates through four segments: Personal, Home, Corporate, and Others. Telekomunikasi Indonesia (Persero) Tbk has a market cap of $22.9 billion and is part of the telecommunications industry. The company has a P/E ratio of 17.2, below the S&P 500 P/E ratio of 17.7. Shares are up 29.9% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Telekomunikasi Indonesia (Persero) Tbk as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, notable return on equity, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Telekomunikasi Indonesia (Persero) Tbk Ratings Report now.

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2. As of noon trading, Teradata Corporation ( TDC) is down $3.31 (-6.2%) to $49.75 on heavy volume Thus far, 5.5 million shares of Teradata Corporation exchanged hands as compared to its average daily volume of 2.4 million shares. The stock has ranged in price between $48.81-$50.43 after having opened the day at $49.26 as compared to the previous trading day's close of $53.06.

Teradata Corporation provides analytic data solutions worldwide. The company offers data warehousing solutions that include software, hardware, and related business consulting and support services. Teradata Corporation has a market cap of $8.5 billion and is part of the computer hardware industry. The company has a P/E ratio of 21.0, above the S&P 500 P/E ratio of 17.7. Shares are down 14.3% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Teradata Corporation as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, expanding profit margins and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full Teradata Corporation Ratings Report now.

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1. As of noon trading, LinkedIn ( LNKD) is down $21.05 (-10.4%) to $180.62 on heavy volume Thus far, 6.7 million shares of LinkedIn exchanged hands as compared to its average daily volume of 2.4 million shares. The stock has ranged in price between $180.00-$187.75 after having opened the day at $184.75 as compared to the previous trading day's close of $201.67.

LinkedIn Corporation operates an online professional network. LinkedIn has a market cap of $17.8 billion and is part of the internet industry. The company has a P/E ratio of 1025.4, above the S&P 500 P/E ratio of 17.7. Shares are up 75.6% year to date as of the close of trading on Thursday.

TheStreet Ratings rates LinkedIn as a sell. Among the areas we feel are negative, one of the most important has been premium valuation based on our review of its current price compared to such things as earnings and book value. Get the full LinkedIn Ratings Report now.

Exclusive Offer: Jim Cramer's 'go-to' small/mid-cap guru Bryan Ashenberg only buys stocks he thinks could return 50-100%. See his top picks for 14-days FREE.

If you are interested in one of these 5 stocks, ETFs may be of interest. Investors who are bullish on the technology sector could consider Technology Select Sector SPDR ( XLK) while those bearish on the technology sector 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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