5 Stocks Pulling The Real Estate 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

All three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading up 153 points (1.0%) at 15,456 as of Tuesday, May 28, 2013, 12:50 PM ET. The NYSE advances/declines ratio sits at 2,106 issues advancing vs. 846 declining with 109 unchanged.

The Real Estate industry currently sits up 0.6% versus the S&P 500, which is up 0.9%. On the negative front, top decliners within the industry include National Retail Properties ( NNN), down 1.75, Brookfield Office Properties ( BPO), down 1.21, General Growth Properties ( GGP), down 0.84 and Ventas ( VTR), down 0.60. Top gainers within the industry include Caplease ( LSE), up 20.7%, Brookfield Residential Properties ( BRP), up 4.3%, Icahn ( IEP), up 4.4%, Howard Hughes ( HHC), up 3.1% and CBRE Group ( CBG), up 2.6%.

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

5. HCP ( HCP) is one of the companies pushing the Real Estate industry lower today. As of noon trading, HCP is down $0.49 (-1.0%) to $50.34 on average volume Thus far, 1.2 million shares of HCP exchanged hands as compared to its average daily volume of 2.3 million shares. The stock has ranged in price between $50.14-$51.49 after having opened the day at $51.43 as compared to the previous trading day's close of $50.83.

HCP, Inc. is an independent hybrid real estate investment trust. The fund invests in real estate markets of the United States. HCP has a market cap of $23.1 billion and is part of the financial sector. The company has a P/E ratio of 26.5, above the S&P 500 P/E ratio of 17.7. Shares are up 12.6% year to date as of the close of trading on Friday.

TheStreet Ratings rates HCP 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, compelling growth in net income and good cash flow from operations. 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 HCP Ratings Report now.

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4. As of noon trading, AvalonBay Communities ( AVB) is down $1.07 (-0.8%) to $137.51 on average volume Thus far, 395,971 shares of AvalonBay Communities exchanged hands as compared to its average daily volume of 919,800 shares. The stock has ranged in price between $137.43-$140.29 after having opened the day at $139.55 as compared to the previous trading day's close of $138.58.

AvalonBay Communities, Inc. engages in the development, redevelopment, acquisition, ownership, and operation of multifamily communities in the United States. AvalonBay Communities has a market cap of $17.9 billion and is part of the financial sector. The company has a P/E ratio of 67.9, above the S&P 500 P/E ratio of 17.7. Shares are up 2.2% year to date as of the close of trading on Friday.

TheStreet Ratings rates AvalonBay Communities as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth and increase in net income. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full AvalonBay Communities Ratings Report now.

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3. As of noon trading, Annaly Capital Management ( NLY) is down $0.28 (-1.9%) to $14.14 on heavy volume Thus far, 10.4 million shares of Annaly Capital Management exchanged hands as compared to its average daily volume of 9.5 million shares. The stock has ranged in price between $14.11-$14.53 after having opened the day at $14.50 as compared to the previous trading day's close of $14.42.

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 $13.7 billion and is part of the financial sector. The company has a P/E ratio of 8.5, below the S&P 500 P/E ratio of 17.7. Shares are up 2.7% year to date as of the close of trading on Friday.

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 shows weak operating cash flow. Get the full Annaly Capital Management Ratings Report now.

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2. As of noon trading, Health Care REIT ( HCN) is down $0.86 (-1.2%) to $73.18 on average volume Thus far, 1.0 million shares of Health Care REIT exchanged hands as compared to its average daily volume of 2.1 million shares. The stock has ranged in price between $72.95-$74.77 after having opened the day at $74.62 as compared to the previous trading day's close of $74.04.

Health Care REIT, Inc. is an independent equity real estate investment trust. The firm engages in acquiring, planning, developing, managing, repositioning and monetizing of real estate assets. It primarily invests in the real estate markets of the United States. Health Care REIT has a market cap of $19.4 billion and is part of the financial sector. The company has a P/E ratio of 101.4, above the S&P 500 P/E ratio of 17.7. Shares are up 20.8% year to date as of the close of trading on Friday.

TheStreet Ratings rates Health Care REIT as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, good cash flow from operations, compelling growth in net income and solid stock price performance. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Health Care REIT Ratings Report now.

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1. As of noon trading, American Capital Agency ( AGNC) is down $1.30 (-4.7%) to $26.42 on heavy volume Thus far, 14.7 million shares of American Capital Agency exchanged hands as compared to its average daily volume of 7.7 million shares. The stock has ranged in price between $26.33-$27.89 after having opened the day at $27.80 as compared to the previous trading day's close of $27.72.

American Capital Agency Corp. operates as a real estate investment trust (REIT). American Capital Agency has a market cap of $11.0 billion and is part of the financial sector. The company has a P/E ratio of 12.9, below the S&P 500 P/E ratio of 17.7. Shares are down 4.1% year to date as of the close of trading on Friday.

TheStreet Ratings rates American Capital Agency as a hold. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, good cash flow from operations and expanding profit margins. 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 American Capital Agency 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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