5 Stocks Pulling The 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 down today with the Dow Jones Industrial Average ( ^DJI) trading down 187 points (-1.2%) at 14,990 as of Wednesday, June 5, 2013, 12:50 PM ET. The NYSE advances/declines ratio sits at 593 issues advancing vs. 2,381 declining with 93 unchanged.

The Technology sector currently sits down 1.09 versus the S&P 500, which is down 1.24. On the negative front, top decliners within the sector include Kyocera Corporation ( KYO), down 3.55, Corning ( GLW), down 3.31, Nokia Oyj ( NOK), down 2.82, Mobile Telesystems OJSC ( MBT), down 2.64 and Infosys ( INFY), down 2.36.

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

5. Seagate Technology ( STX) is one of the companies pushing the Technology sector lower today. As of noon trading, Seagate Technology is down $1.10 (-2.5%) to $43.64 on light volume Thus far, 2.0 million shares of Seagate Technology exchanged hands as compared to its average daily volume of 5.5 million shares. The stock has ranged in price between $43.64-$44.83 after having opened the day at $44.73 as compared to the previous trading day's close of $44.74.

Seagate Technology Public Limited Company designs, manufactures, markets, and sells hard disk drives for enterprise storage, client compute, and client non-compute market applications worldwide. Seagate Technology has a market cap of $15.8 billion and is part of the computer hardware industry. The company has a P/E ratio of 7.1, below the S&P 500 P/E ratio of 17.7. Shares are up 44.5% year to date as of the close of trading on Tuesday. Currently there are 5 analysts that rate Seagate Technology a buy, 3 analysts rate it a sell, and 13 rate it a hold.

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

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4. As of noon trading, Baidu ( BIDU) is down $1.10 (-1.1%) to $94.96 on average volume Thus far, 1.9 million shares of Baidu exchanged hands as compared to its average daily volume of 4.2 million shares. The stock has ranged in price between $94.23-$96.12 after having opened the day at $95.98 as compared to the previous trading day's close of $96.06.

Baidu, Inc. provides Internet search services. Baidu has a market cap of $33.7 billion and is part of the internet industry. The company has a P/E ratio of 18.2, above the S&P 500 P/E ratio of 17.7. Shares are down 3.9% year to date as of the close of trading on Tuesday. Currently there are 5 analysts that rate Baidu a buy, 1 analyst rates it a sell, and 8 rate it a hold.

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

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

3. As of noon trading, Yahoo ( YHOO) is down $0.36 (-1.4%) to $25.90 on average volume Thus far, 7.8 million shares of Yahoo exchanged hands as compared to its average daily volume of 17.5 million shares. The stock has ranged in price between $25.87-$26.25 after having opened the day at $26.11 as compared to the previous trading day's close of $26.26.

Yahoo! Inc., a technology company, provides search, content, and communication tools on the Web and on mobile devices worldwide. Yahoo has a market cap of $28.6 billion and is part of the internet industry. The company has a P/E ratio of 7.8, below the S&P 500 P/E ratio of 17.7. Shares are up 32.6% year to date as of the close of trading on Tuesday. Currently there are 11 analysts that rate Yahoo a buy, 1 analyst rates it a sell, and 13 rate it a hold.

TheStreet Ratings rates Yahoo as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, compelling growth in net income, notable return on equity, reasonable valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Yahoo Ratings Report now.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

2. As of noon trading, Hewlett-Packard ( HPQ) is down $0.42 (-1.7%) to $24.20 on light volume Thus far, 6.0 million shares of Hewlett-Packard exchanged hands as compared to its average daily volume of 22.7 million shares. The stock has ranged in price between $24.18-$24.66 after having opened the day at $24.55 as compared to the previous trading day's close of $24.62.

Hewlett-Packard Company and its subsidiaries provide products, technologies, software, solutions, and services to individual consumers, small-and medium-sized businesses (SMBs), and large enterprises, including customers in the government, health, and education sectors worldwide. Hewlett-Packard has a market cap of $48.4 billion and is part of the computer hardware industry. Shares are up 72.8% year to date as of the close of trading on Tuesday. Currently there are 2 analysts that rate Hewlett-Packard a buy, 5 analysts rate it a sell, and 16 rate it a hold.

TheStreet Ratings rates Hewlett-Packard as a hold. The company's strengths can be seen in multiple areas, such as its 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 deteriorating net income, generally higher debt management risk and disappointing return on equity. Get the full Hewlett-Packard Ratings Report now.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

1. As of noon trading, Microsoft Corporation ( MSFT) is down $0.28 (-0.8%) to $34.71 on average volume Thus far, 25.8 million shares of Microsoft Corporation exchanged hands as compared to its average daily volume of 54.3 million shares. The stock has ranged in price between $34.43-$34.89 after having opened the day at $34.60 as compared to the previous trading day's close of $34.99.

Microsoft Corporation develops, licenses, and supports software products and services; and designs and sells hardware worldwide. Microsoft Corporation has a market cap of $297.2 billion and is part of the computer software & services industry. The company has a P/E ratio of 18.3, above the S&P 500 P/E ratio of 17.7. Shares are up 33.2% year to date as of the close of trading on Tuesday. Currently there are 16 analysts that rate Microsoft Corporation a buy, no analysts rate it a sell, and 14 rate it a hold.

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

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

If you are interested in one of these 3 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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