TU, BCE, YOKU, ARUN And ADSK, Pushing Technology 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 54 points (0.4%) at 15,287 as of Friday, May 17, 2013, 12:54 PM ET. The NYSE advances/declines ratio sits at 1,992 issues advancing vs. 899 declining with 140 unchanged.

The Technology sector currently sits up 1.0% versus the S&P 500, which is up 0.5%. On the negative front, top decliners within the sector include Catamaran ( CTRX), down 4.10, LM Ericsson Telephone Company ( ERIC), down 1.40, BT Group ( BT), down 1.08, America Movil S.A.B. de C.V ( AMOV), down 0.69 and Nippon Telegraph & Telephone ( NTT), down 0.61. Top gainers within the sector include Viasat ( VSAT), up 15.8%, Mercadolibre ( MELI), up 4.5%, Sensata Technologies Holding N.V ( ST), up 3.8%, Micron Technology ( MU), up 2.7% and Emerson Electric ( EMR), up 2.5%.

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

5. TELUS ( TU) is one of the companies pushing the Technology sector lower today. As of noon trading, TELUS is down $0.34 (-0.9%) to $36.28 on light volume Thus far, 47,422 shares of TELUS exchanged hands as compared to its average daily volume of 138,200 shares. The stock has ranged in price between $36.00-$36.33 after having opened the day at $36.00 as compared to the previous trading day's close of $36.62.

TELUS Corporation provides telecommunications products and services primarily in Canada. Its telecommunications products and services include wireless, data, Internet protocol (IP), voice, and television. The company operates through two segments, Wireless and Wireline. TELUS has a market cap of $23.8 billion and is part of the telecommunications industry. The company has a P/E ratio of 16.8, below the S&P 500 P/E ratio of 17.7. Shares are up 6.1% year to date as of the close of trading on Thursday.

TheStreet Ratings rates TELUS as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, growth in earnings per share, good cash flow from operations and increase in net income. 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 TELUS Ratings Report now.

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4. As of noon trading, BCE ( BCE) is down $0.39 (-0.8%) to $46.46 on average volume Thus far, 297,289 shares of BCE exchanged hands as compared to its average daily volume of 731,100 shares. The stock has ranged in price between $46.12-$46.55 after having opened the day at $46.24 as compared to the previous trading day's close of $46.85.

BCE Inc. provides communications solutions to residential, business, and wholesale customers primarily in Canada. BCE has a market cap of $36.5 billion and is part of the telecommunications industry. The company has a P/E ratio of 13.8, below 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 Thursday.

TheStreet Ratings rates BCE 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, compelling growth in net income, notable return on equity and expanding profit margins. 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 BCE Ratings Report now.

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3. As of noon trading, Youku Tudou ( YOKU) is down $2.08 (-9.9%) to $19.00 on heavy volume Thus far, 4.0 million shares of Youku Tudou exchanged hands as compared to its average daily volume of 2.2 million shares. The stock has ranged in price between $18.92-$21.48 after having opened the day at $21.26 as compared to the previous trading day's close of $21.08.

Youku Tudou Inc. operates as an Internet television company in the People's Republic of China. Its Internet television platform enables consumers to search, view, and share video content across various devices. Youku Tudou has a market cap of $3.5 billion and is part of the internet industry. Shares are up 15.6% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Youku Tudou as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth and largely solid financial position with reasonable debt levels by most measures. 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 disappointing return on equity. Get the full Youku Tudou Ratings Report now.

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2. As of noon trading, Aruba Networks ( ARUN) is down $4.68 (-26.6%) to $12.93 on heavy volume Thus far, 42.2 million shares of Aruba Networks exchanged hands as compared to its average daily volume of 2.8 million shares. The stock has ranged in price between $12.38-$13.07 after having opened the day at $12.68 as compared to the previous trading day's close of $17.61.

Aruba Networks, Inc. provides network access solutions for the mobile enterprises worldwide. Aruba Networks has a market cap of $2.0 billion and is part of the computer hardware industry. The company has a P/E ratio of 292.9, above the S&P 500 P/E ratio of 17.7. Shares are down 15.3% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Aruba Networks as a hold. 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 increase in net income. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, disappointing return on equity and premium valuation. Get the full Aruba Networks Ratings Report now.

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1. As of noon trading, Autodesk ( ADSK) is down $3.01 (-7.6%) to $36.77 on heavy volume Thus far, 11.5 million shares of Autodesk exchanged hands as compared to its average daily volume of 2.9 million shares. The stock has ranged in price between $34.40-$37.33 after having opened the day at $36.75 as compared to the previous trading day's close of $39.78.

Autodesk, Inc. operates as a design software and services company worldwide. Autodesk has a market cap of $8.8 billion and is part of the computer software & services industry. The company has a P/E ratio of 36.9, above the S&P 500 P/E ratio of 17.7. Shares are up 11.5% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Autodesk as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income, expanding profit margins, largely solid financial position with reasonable debt levels by most measures 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 Autodesk Ratings Report now.

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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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