3 Stocks Underperforming Today In The Computer Software & Services 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

All three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading up 8 points (0.1%) at 15,256 as of Monday, June 10, 2013, 12:50 PM ET. The NYSE advances/declines ratio sits at 1,353 issues advancing vs. 1,578 declining with 107 unchanged.

The Computer Software & Services industry currently sits up 0.4% versus the S&P 500, which is up 0.1%. A company within the industry that fell today was Catamaran ( CTRX), up 4.00.

TheStreet Ratings group would like to highlight 3 stocks pushing the industry lower today:

3. Salesforce.com ( CRM) is one of the companies pushing the Computer Software & Services industry lower today. As of noon trading, Salesforce.com is down $0.70 (-1.8%) to $38.91 on average volume Thus far, 4.5 million shares of Salesforce.com exchanged hands as compared to its average daily volume of 6.6 million shares. The stock has ranged in price between $38.73-$39.97 after having opened the day at $39.95 as compared to the previous trading day's close of $39.61.

salesforce.com, inc. provides enterprise cloud computing solutions to various businesses and industries worldwide. Salesforce.com has a market cap of $22.5 billion and is part of the technology sector. Shares are down 5.7% year to date as of the close of trading on Friday. Currently there are 26 analysts that rate Salesforce.com a buy, 1 analyst rates it a sell, and 3 rate it a hold.

TheStreet Ratings rates Salesforce.com 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 deteriorating net income, disappointing return on equity and feeble growth in the company's earnings per share. Get the full Salesforce.com 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, Cognizant Technology Solutions Corporation ( CTSH) is down $1.61 (-2.4%) to $64.97 on light volume Thus far, 1.0 million shares of Cognizant Technology Solutions Corporation exchanged hands as compared to its average daily volume of 4.0 million shares. The stock has ranged in price between $64.97-$66.64 after having opened the day at $66.61 as compared to the previous trading day's close of $66.58.

Cognizant Technology Solutions Corporation provides information technology (IT), consulting, and business process outsourcing services worldwide. The company operates through four segments: Financial Services; Healthcare; Manufacturing, Retail, and Logistics; and Other. Cognizant Technology Solutions Corporation has a market cap of $19.7 billion and is part of the technology sector. The company has a P/E ratio of 18.3, above the S&P 500 P/E ratio of 17.7. Shares are down 11.5% year to date as of the close of trading on Friday. Currently there are 19 analysts that rate Cognizant Technology Solutions Corporation a buy, no analysts rate it a sell, and 3 rate it a hold.

TheStreet Ratings rates Cognizant Technology Solutions Corporation 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, reasonable valuation levels, impressive record of earnings per share growth and compelling growth in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Cognizant Technology Solutions 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.

1. As of noon trading, Microsoft Corporation ( MSFT) is down $0.28 (-0.8%) to $35.39 on light volume Thus far, 17.7 million shares of Microsoft Corporation exchanged hands as compared to its average daily volume of 54.0 million shares. The stock has ranged in price between $35.36-$35.65 after having opened the day at $35.51 as compared to the previous trading day's close of $35.67.

Microsoft Corporation develops, licenses, and supports software products and services; and designs and sells hardware worldwide. Microsoft Corporation has a market cap of $292.0 billion and is part of the technology sector. The company has a P/E ratio of 18.0, above the S&P 500 P/E ratio of 17.7. Shares are up 30.9% year to date as of the close of trading on Friday. Currently there are 15 analysts that rate Microsoft Corporation a buy, no analysts rate it a sell, and 15 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, increase in stock price during the past year, attractive valuation levels 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 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 computer software & services industry could consider iShares S&P NA Tech Software Idx ( IGV) while those bearish on the computer software & services industry 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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