5 Stocks Underperforming Today In The Real Estate Industry

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

One out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading down 23 points (-0.2%) at 15,060 as of Friday, May 10, 2013, 12:49 PM ET. The NYSE advances/declines ratio sits at 1,550 issues advancing vs. 1,371 declining with 121 unchanged.

The Real Estate industry currently sits up 0.2% versus the S&P 500, which is unchanged. On the negative front, top decliners within the industry include Franklin Street Properties Corporation ( FSP), down 3.37, Brookfield Residential Properties ( BRP), down 1.46, American Capital Agency ( AGNC), down 1.81, American Tower ( AMT), down 0.63 and Brookfield Office Properties ( BPO), down 0.53. Top gainers within the industry include Nationstar Mortgage Holdings ( NSM), up 2.2%, Apartment Investment & Management ( AIV), up 1.3%, Kimco Realty ( KIM), up 0.8%, American Campus Communities ( ACC), up 0.9% and Host Hotels & Resorts ( HST), up 0.6%.

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

5. MFA Financial ( MFA) is one of the companies pushing the Real Estate industry lower today. As of noon trading, MFA Financial is down $0.16 (-1.8%) to $9.18 on average volume Thus far, 2.1 million shares of MFA Financial exchanged hands as compared to its average daily volume of 3.5 million shares. The stock has ranged in price between $9.17-$9.39 after having opened the day at $9.36 as compared to the previous trading day's close of $9.35.

MFA Financial, Inc., a real estate investment trust (REIT), invests in residential agency and non-agency mortgage-backed securities (MBS). MFA Financial has a market cap of $3.4 billion and is part of the financial sector. The company has a P/E ratio of 11.7, below the S&P 500 P/E ratio of 17.7. Shares are up 15.3% year to date as of the close of trading on Thursday.

TheStreet Ratings rates MFA Financial as a hold. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, expanding profit margins and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and feeble growth in the company's earnings per share. Get the full MFA Financial Ratings Report now.

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4. As of noon trading, Brookfield Asset Management ( BAM) is down $0.44 (-1.1%) to $37.78 on average volume Thus far, 571,559 shares of Brookfield Asset Management exchanged hands as compared to its average daily volume of 1.4 million shares. The stock has ranged in price between $37.67-$38.20 after having opened the day at $38.09 as compared to the previous trading day's close of $38.21.

Brookfield Asset Management Inc. is a publicly owned asset management holding company. Through its subsidiaries the firm invests in the property, power, and infrastructure sectors. Brookfield Asset Management has a market cap of $24.4 billion and is part of the financial sector. The company has a P/E ratio of 19.9, above the S&P 500 P/E ratio of 17.7. Shares are up 4.3% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Brookfield Asset Management as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, reasonable valuation levels, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company has had somewhat weak growth in earnings per share. Get the full Brookfield Asset Management Ratings Report now.

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3. As of noon trading, Starwood Property ( STWD) is down $0.44 (-1.6%) to $27.79 on average volume Thus far, 967,625 shares of Starwood Property exchanged hands as compared to its average daily volume of 2.2 million shares. The stock has ranged in price between $27.76-$28.32 after having opened the day at $28.24 as compared to the previous trading day's close of $28.23.

Starwood Property Trust, Inc. engages in originating, investing in, financing, and managing commercial mortgage loans, other commercial real estate debt investments, commercial mortgage-backed securities, and other commercial real estate-related debt investments. Starwood Property has a market cap of $4.6 billion and is part of the financial sector. The company has a P/E ratio of 16.9, below the S&P 500 P/E ratio of 17.7. Shares are up 23.0% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Starwood Property as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, compelling growth in net income, good cash flow from operations 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 Starwood Property Ratings Report now.

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2. As of noon trading, Two Harbors Investment ( TWO) is down $0.22 (-1.8%) to $11.98 on light volume Thus far, 1.8 million shares of Two Harbors Investment exchanged hands as compared to its average daily volume of 7.7 million shares. The stock has ranged in price between $11.97-$12.25 after having opened the day at $12.16 as compared to the previous trading day's close of $12.20.

Two Harbors Investment Corp. operates as a real estate investment trust (REIT) that focuses on investing in, financing, and managing residential mortgage-backed securities (RMBS), residential mortgage loans, and other financial assets. Two Harbors Investment has a market cap of $4.5 billion and is part of the financial sector. The company has a P/E ratio of 9.0, below the S&P 500 P/E ratio of 17.7. Shares are up 10.1% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Two Harbors Investment as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, attractive valuation levels and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including weak operating cash flow and disappointing return on equity. Get the full Two Harbors Investment Ratings Report now.

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1. As of noon trading, Annaly Capital Management ( NLY) is down $0.19 (-1.2%) to $15.00 on average volume Thus far, 4.2 million shares of Annaly Capital Management exchanged hands as compared to its average daily volume of 9.2 million shares. The stock has ranged in price between $14.99-$15.25 after having opened the day at $15.20 as compared to the previous trading day's close of $15.19.

Annaly Capital Management, Inc. owns, manages, and finances a portfolio of real estate related investments in United States. Annaly Capital Management has a market cap of $14.5 billion and is part of the financial sector. The company has a P/E ratio of 9.0, below the S&P 500 P/E ratio of 17.7. Shares are up 8.2% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Annaly Capital Management as a buy. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, expanding profit margins and notable return on equity. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full Annaly Capital Management 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 real estate industry could consider iShares Dow Jones US Real Estate ( IYR) while those bearish on the real estate industry could consider ProShares Short Real Estate Fund ( REK).

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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