5 Stocks Dragging The Services Sector Downward

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 12 points (0.1%) at 15,069 as of Wednesday, May 8, 2013, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,670 issues advancing vs. 1,254 declining with 121 unchanged.

The Services sector currently is unchanged today versus the S&P 500, which is up 0.2%. On the negative front, top decliners within the sector include Zillow ( Z), down 10.10, CH Robinson Worldwide ( CHRW), down 6.97, Mercadolibre ( MELI), down 4.36, Tim Hortons ( THI), down 2.19 and InterContinental Hotels Group ( IHG), down 2.17. Top gainers within the sector include Liberty Media Corporation ( LMCA), up 10.5%, McKesson ( MCK), up 6.0%, Copa Holdings ( CPA), up 4.2%, Grupo Televisa S.A ( TV), up 2.9% and Fidelity National Information Services ( FIS), up 2.3%.

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

5. Bed Bath & Beyond ( BBBY) is one of the companies pushing the Services sector lower today. As of noon trading, Bed Bath & Beyond is down $1.12 (-1.6%) to $68.94 on average volume Thus far, 1.4 million shares of Bed Bath & Beyond exchanged hands as compared to its average daily volume of 2.6 million shares. The stock has ranged in price between $68.86-$69.80 after having opened the day at $69.22 as compared to the previous trading day's close of $70.07.

Bed Bath & Beyond Inc., together with its subsidiaries, operates a chain of retail stores. Bed Bath & Beyond has a market cap of $15.3 billion and is part of the retail industry. The company has a P/E ratio of 15.3, below the S&P 500 P/E ratio of 17.7. Shares are up 24.6% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Bed Bath & Beyond as a buy. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, revenue growth, 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 shows weak operating cash flow. Get the full Bed Bath & Beyond Ratings Report now.

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4. As of noon trading, CBS Corporation ( CBS) is down $0.78 (-1.6%) to $46.87 on light volume Thus far, 1.9 million shares of CBS Corporation exchanged hands as compared to its average daily volume of 7.0 million shares. The stock has ranged in price between $46.83-$47.59 after having opened the day at $47.58 as compared to the previous trading day's close of $47.65.

CBS Corporation, together with its subsidiaries, operates as a mass media company in the United States and internationally. CBS Corporation has a market cap of $27.0 billion and is part of the media industry. The company has a P/E ratio of 18.0, above the S&P 500 P/E ratio of 17.7. Shares are up 25.2% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates CBS Corporation 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, notable return on equity, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook. Get the full CBS Corporation Ratings Report now.

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3. As of noon trading, Time Warner ( TWX) is down $0.55 (-0.9%) to $60.97 on average volume Thus far, 2.7 million shares of Time Warner exchanged hands as compared to its average daily volume of 6.9 million shares. The stock has ranged in price between $60.86-$61.73 after having opened the day at $61.39 as compared to the previous trading day's close of $61.52.

Time Warner Inc. operates as a media and entertainment company in the United States and internationally. The company operates in three segments: Networks, Film and TV Entertainment, and Publishing. Time Warner has a market cap of $56.5 billion and is part of the media industry. The company has a P/E ratio of 18.7, above the S&P 500 P/E ratio of 17.7. Shares are up 28.6% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Time Warner 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, increase in net income, largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook. Get the full Time Warner Ratings Report now.

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2. As of noon trading, McDonald's Corporation ( MCD) is down $1.03 (-1.0%) to $101.26 on average volume Thus far, 2.2 million shares of McDonald's Corporation exchanged hands as compared to its average daily volume of 4.7 million shares. The stock has ranged in price between $101.15-$102.28 after having opened the day at $102.20 as compared to the previous trading day's close of $102.29.

McDonald's Corporation franchises and operates McDonald's restaurants in the United States, Europe, the Asia/Pacific, the Middle East, Africa, Canada, and Latin America. Its restaurants offer various food items, soft drinks, coffee, and other beverages, as well as breakfast menus. McDonald's Corporation has a market cap of $102.3 billion and is part of the leisure industry. The company has a P/E ratio of 18.9, above the S&P 500 P/E ratio of 17.7. Shares are up 16.0% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates McDonald's Corporation as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, growth in earnings per share, increase in net income and expanding profit margins. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook. Get the full McDonald's Corporation Ratings Report now.

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1. As of noon trading, Walt Disney ( DIS) is down $0.67 (-1.0%) to $65.40 on heavy volume Thus far, 10.4 million shares of Walt Disney exchanged hands as compared to its average daily volume of 7.8 million shares. The stock has ranged in price between $64.56-$66.00 after having opened the day at $66.00 as compared to the previous trading day's close of $66.07.

The Walt Disney Company operates as an entertainment company worldwide. Its Media Networks segment engages in broadcast television network, television production and distribution, television stations, broadcast radio networks and stations, and publishing and digital operations. Walt Disney has a market cap of $117.5 billion and is part of the media industry. The company has a P/E ratio of 21.0, above the S&P 500 P/E ratio of 17.7. Shares are up 32.7% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Walt Disney as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, largely solid financial position with reasonable debt levels by most measures, notable return on equity and reasonable valuation levels. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Walt Disney 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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