CVE, ENB, SDRL, NOV And BP, Pushing Energy Industry 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

Two out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading down 5 points (0.0%) at 15,100 as of Thursday, May 9, 2013, 12:45 PM ET. The NYSE advances/declines ratio sits at 1,176 issues advancing vs. 1,742 declining with 136 unchanged.

The Energy industry currently sits up 0.2% versus the S&P 500, which is down 0.21. On the negative front, top decliners within the industry include Eni SpA ( E), down 0.88, PetroChina ( PTR), down 0.86 and Schlumberger ( SLB), down 0.54. Top gainers within the industry include Energy Transfer Equity ( ETE), up 3.6%, MarkWest Energy Partners ( MWE), up 3.3% and Williams Companies ( WMB), up 2.7%.

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

5. Cenovus Energy ( CVE) is one of the companies pushing the Energy industry lower today. As of noon trading, Cenovus Energy is down $0.45 (-1.5%) to $30.18 on average volume Thus far, 428,424 shares of Cenovus Energy exchanged hands as compared to its average daily volume of 1.1 million shares. The stock has ranged in price between $30.02-$30.60 after having opened the day at $30.57 as compared to the previous trading day's close of $30.63.

Cenovus Energy Inc., an integrated oil company, together with its subsidiaries, engages in the development, production, and marketing of bitumen, crude oil, natural gas, and natural gas liquids (NGLs) in Canada with refining operations in the United States. Cenovus Energy has a market cap of $23.0 billion and is part of the basic materials sector. The company has a P/E ratio of 31.6, above the S&P 500 P/E ratio of 17.7. Shares are down 8.7% year to date as of the close of trading on Wednesday.

TheStreet Ratings rates Cenovus Energy as a buy. The company's strengths can be seen in multiple areas, such as its good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full Cenovus Energy Ratings Report now.

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4. As of noon trading, Enbridge ( ENB) is down $0.63 (-1.3%) to $46.86 on light volume Thus far, 280,564 shares of Enbridge exchanged hands as compared to its average daily volume of 788,200 shares. The stock has ranged in price between $46.83-$47.64 after having opened the day at $47.47 as compared to the previous trading day's close of $47.49.

Enbridge Inc. operates as an energy transportation and distribution company in the United States and Canada. Its Liquids Pipelines segment operates common carrier and contract crude oil, natural gas liquids (NGL), and refined products pipelines and terminals. Enbridge has a market cap of $38.2 billion and is part of the basic materials sector. The company has a P/E ratio of 59.9, above the S&P 500 P/E ratio of 17.7. Shares are up 9.6% year to date as of the close of trading on Wednesday.

TheStreet Ratings rates Enbridge 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 increase in stock price during the past year. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and generally higher debt management risk. Get the full Enbridge Ratings Report now.

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3. As of noon trading, Seadrill ( SDRL) is down $1.03 (-2.5%) to $39.88 on heavy volume Thus far, 1.7 million shares of Seadrill exchanged hands as compared to its average daily volume of 2.2 million shares. The stock has ranged in price between $39.82-$40.88 after having opened the day at $40.84 as compared to the previous trading day's close of $40.91.

Seadrill Limited provides offshore drilling services to the oil and gas industry worldwide. Its services include drilling, completion, and maintenance of offshore wells; production drilling and well maintenance; and well services. Seadrill has a market cap of $18.8 billion and is part of the basic materials sector. The company has a P/E ratio of 17.1, below the S&P 500 P/E ratio of 17.7. Shares are up 11.2% year to date as of the close of trading on Wednesday.

TheStreet Ratings rates Seadrill as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income, growth in earnings per share, expanding profit margins and notable return on equity. 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 Seadrill Ratings Report now.

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2. As of noon trading, National Oilwell Varco ( NOV) is down $0.64 (-0.9%) to $68.16 on average volume Thus far, 1.5 million shares of National Oilwell Varco exchanged hands as compared to its average daily volume of 3.9 million shares. The stock has ranged in price between $67.69-$68.72 after having opened the day at $68.27 as compared to the previous trading day's close of $68.80.

National Oilwell Varco, Inc. provides equipment and components for oil and gas drilling and production; oilfield services; and supply chain integration services to the upstream oil and gas industry worldwide. National Oilwell Varco has a market cap of $29.3 billion and is part of the basic materials sector. The company has a P/E ratio of 12.3, below the S&P 500 P/E ratio of 17.7. Shares are up 0.7% year to date as of the close of trading on Wednesday.

TheStreet Ratings rates National Oilwell Varco as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and attractive valuation levels. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full National Oilwell Varco Ratings Report now.

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1. As of noon trading, BP ( BP) is down $0.22 (-0.5%) to $43.42 on light volume Thus far, 2.3 million shares of BP exchanged hands as compared to its average daily volume of 7.3 million shares. The stock has ranged in price between $43.30-$43.49 after having opened the day at $43.37 as compared to the previous trading day's close of $43.64.

BP p.l.c. provides fuel for transportation, energy for heat and light, lubricants to engines, and petrochemicals products. BP has a market cap of $140.7 billion and is part of the basic materials sector. The company has a P/E ratio of 440.7, above the S&P 500 P/E ratio of 17.7. Shares are up 4.8% year to date as of the close of trading on Wednesday.

TheStreet Ratings rates BP as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and poor profit margins. Get the full BP 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 energy industry could consider Energy Select Sector SPDR ( XLE) while those bearish on the energy industry could consider Proshares Short Oil & Gas ( DDG).

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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