5 Services Stocks Pushing The 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 up today with the Dow Jones Industrial Average ( ^DJI) trading up 60 points (0.4%) at 15,029 as of Tuesday, May 7, 2013, 12:54 PM ET. The NYSE advances/declines ratio sits at 1,907 issues advancing vs. 994 declining with 159 unchanged.

The Services sector currently sits up 0.3% versus the S&P 500, which is up 0.3%. Top gainers within the sector include Mercadolibre ( MELI), up 17.6%, Liberty Media Corporation ( LMCA), up 8.9%, Abercrombie & Fitch Company ( ANF), up 5.3%, Vantiv ( VNTV), up 5.1% and Charter Communications ( CHTR), up 3.6%. On the negative front, top decliners within the sector include Chipotle Mexican Grill ( CMG), down 2.96, Netflix ( NFLX), down 1.32, Melco Crown Entertainment ( MPEL), down 1.41, Lowe's Companies ( LOW), down 0.96 and Starbucks Corporation ( SBUX), down 0.63.

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

5. Time Warner Cable ( TWC) is one of the companies pushing the Services sector higher today. As of noon trading, Time Warner Cable is up $1.12 (1.17) to $97.36 on light volume Thus far, 508,315 shares of Time Warner Cable exchanged hands as compared to its average daily volume of 3.0 million shares. The stock has ranged in price between $96.10-$97.51 after having opened the day at $96.14 as compared to the previous trading day's close of $96.23.

Time Warner Cable Inc., together with its subsidiaries, offers video, high-speed data, and voice services to residential and business service customers over its broadband cable systems in the United States. Time Warner Cable has a market cap of $28.0 billion and is part of the media industry. The company has a P/E ratio of 13.7, below the S&P 500 P/E ratio of 17.7. Shares are down 1.0% year to date as of the close of trading on Monday. Currently there are 12 analysts that rate Time Warner Cable a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Time Warner Cable as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, reasonable valuation levels, solid stock price performance 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 Time Warner Cable Ratings Report now.

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4. As of noon trading, Walgreen Company ( WAG) is up $1.02 (2.13) to $48.86 on average volume Thus far, 2.9 million shares of Walgreen Company exchanged hands as compared to its average daily volume of 6.3 million shares. The stock has ranged in price between $48.00-$48.95 after having opened the day at $48.03 as compared to the previous trading day's close of $47.84.

Walgreen Co., together with its subsidiaries, operates a network of drugstores in the United States. It provides consumer goods and services, pharmacy, and health and wellness services through drugstores, as well as through mail, and by telephone and online. Walgreen Company has a market cap of $45.5 billion and is part of the retail industry. The company has a P/E ratio of 21.4, above the S&P 500 P/E ratio of 17.7. Shares are up 29.3% year to date as of the close of trading on Monday. Currently there are 10 analysts that rate Walgreen Company a buy, 1 analyst rates it a sell, and 5 rate it a hold.

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

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3. As of noon trading, Michael Kors Holdings ( KORS) is up $0.89 (1.56) to $57.98 on light volume Thus far, 2.0 million shares of Michael Kors Holdings exchanged hands as compared to its average daily volume of 5.5 million shares. The stock has ranged in price between $57.80-$58.74 after having opened the day at $58.05 as compared to the previous trading day's close of $57.09.

Michael Kors Holdings Limited engages in the design, marketing, distribution, and retail of branded women's apparel and accessories, and men's apparel. The company sells its products primarily under the names of Michael Kors, MICHAEL KORS, MICHAEL MICHAEL KORS, and KORS MICHAEL KORS. Michael Kors Holdings has a market cap of $11.6 billion and is part of the retail industry. The company has a P/E ratio of 36.0, above the S&P 500 P/E ratio of 17.7. Shares are up 11.9% year to date as of the close of trading on Monday. Currently there are 9 analysts that rate Michael Kors Holdings a buy, 1 analyst rates it a sell, and 1 rates it a hold.

TheStreet Ratings rates Michael Kors Holdings as a hold. The company's strengths can be seen in multiple areas, such as its solid stock price performance, notable return on equity and robust revenue growth. However, as a counter to these strengths, we find that the stock itself is trading at a premium valuation. Get the full Michael Kors Holdings Ratings Report now.

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2. As of noon trading, Directv ( DTV) is up $3.67 (6.33) to $61.63 on heavy volume Thus far, 5.1 million shares of Directv exchanged hands as compared to its average daily volume of 5.7 million shares. The stock has ranged in price between $59.74-$61.73 after having opened the day at $60.99 as compared to the previous trading day's close of $57.96.

DIRECTV provides digital television entertainment in the United States and Latin America. The company engages in acquiring, promoting, selling, and distributing digital entertainment programming primarily through satellite to residential and commercial subscribers. Directv has a market cap of $33.1 billion and is part of the media industry. The company has a P/E ratio of 12.6, below the S&P 500 P/E ratio of 17.7. Shares are up 15.4% year to date as of the close of trading on Monday. Currently there are 12 analysts that rate Directv a buy, 1 analyst rates it a sell, and 7 rate it a hold.

TheStreet Ratings rates Directv as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, increase in net income and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Directv Ratings Report now.

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1. As of noon trading, Comcast ( CMCSA) is up $0.34 (0.79) to $43.12 on light volume Thus far, 4.1 million shares of Comcast exchanged hands as compared to its average daily volume of 13.8 million shares. The stock has ranged in price between $42.83-$43.24 after having opened the day at $42.97 as compared to the previous trading day's close of $42.78.

Comcast Corporation operates as a media and technology company worldwide. It operates through Cable Communications, Cable Networks, Broadcast Television, Filmed Entertainment, and Theme Parks segments. Comcast has a market cap of $90.6 billion and is part of the media industry. The company has a P/E ratio of 17.9, above the S&P 500 P/E ratio of 17.7. Shares are up 13.9% year to date as of the close of trading on Monday. Currently there are 17 analysts that rate Comcast a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Comcast as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, revenue growth, attractive valuation levels and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Comcast 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 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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