Norfolk Southern Corporation (NSC): Today's Featured Services Laggard

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Norfolk Southern Corporation ( NSC) pushed the Services sector lower today making it today's featured Services laggard. The sector as a whole closed the day down 0.3%. By the end of trading, Norfolk Southern Corporation fell $2.21 (-2.9%) to $74.66 on heavy volume. Throughout the day, 6,418,243 shares of Norfolk Southern Corporation exchanged hands as compared to its average daily volume of 2,004,500 shares. The stock ranged in price between $72.46-$75.98 after having opened the day at $74.71 as compared to the previous trading day's close of $76.87. Other companies within the Services sector that declined today were: Entravision Communications Corporation ( EVC), down 11.7%, DLH Holdings ( DLHC), down 9.0%, USA Truck ( USAK), down 7.3% and InfoSonics Corporation ( IFON), down 7.2%.

Norfolk Southern Corporation engages in the rail transportation of raw materials, intermediate products, and finished goods in the United States. Norfolk Southern Corporation has a market cap of $24.4 billion and is part of the transportation industry. Shares are up 24.3% year to date as of the close of trading on Tuesday. Currently there are 10 analysts that rate Norfolk Southern Corporation a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates Norfolk Southern Corporation as a buy. The company's strengths can be seen in multiple areas, such as its increase in net income, attractive valuation levels, increase in stock price during the past year, growth in earnings per share and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows low profit margins.

On the positive front, TOP Ships ( TOPS), up 26.5%, Mastech Holdings ( MHH), up 23.4%, Digital Domain Media Group ( DDMG), up 17.6% and Digital Domain Media Group ( DDMGQ), up 17.6% , were all gainers within the services sector with GameStop ( GME) being today's featured services sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the services sector could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the services sector could consider ProShares Ultra Short Consumer Sers ( SCC).

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