3 Diversified Services Stocks Moving The Industry Upward

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.

Two out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading down 4 points (0.0%) at 15,077 as of Monday, Aug. 19, 2013, 12:50 PM ET. The NYSE advances/declines ratio sits at 933 issues advancing vs. 2,036 declining with 90 unchanged.

The Diversified Services industry currently sits down 0.1% versus the S&P 500, which is down 0.1%. A company within the industry that increased today was MasterCard Incorporated ( MA), up 0.8%. A company within the industry that fell today was Zillow ( Z), up 4.5%.

TheStreet would like to highlight 3 stocks pushing the industry higher today:

3. AthenaHealth ( ATHN) is one of the companies pushing the Diversified Services industry higher today. As of noon trading, AthenaHealth is up $2.38 (2.2%) to $111.84 on light volume. Thus far, 74,294 shares of AthenaHealth exchanged hands as compared to its average daily volume of 500,900 shares. The stock has ranged in price between $108.62-$112.23 after having opened the day at $110.06 as compared to the previous trading day's close of $109.47.

athenahealth, Inc., a business services company, provides ongoing billing, clinical-related, and other related services to medical group practices primarily in the United States. The company provides services through the athenaNet, a proprietary Internet-based practice management application. AthenaHealth has a market cap of $4.0 billion and is part of the services sector. Shares are up 48.7% year to date as of the close of trading on Friday. Currently there are 4 analysts that rate AthenaHealth a buy, 3 analysts rate it a sell, and 12 rate it a hold.

TheStreet Ratings rates AthenaHealth 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 expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and premium valuation. Get the full AthenaHealth Ratings Report now.

3x UPSIDE POTENTIAL: 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, Paychex ( PAYX) is up $0.22 (0.6%) to $39.54 on light volume. Thus far, 520,287 shares of Paychex exchanged hands as compared to its average daily volume of 2.3 million shares. The stock has ranged in price between $39.25-$39.62 after having opened the day at $39.27 as compared to the previous trading day's close of $39.32.

Paychex, Inc., together with its subsidiaries, provides payroll, human resource, insurance, and benefits outsourcing solutions for small to medium-sized businesses in the United States and Germany. Paychex has a market cap of $14.5 billion and is part of the services sector. Shares are up 26.4% year to date as of the close of trading on Friday. Currently there is 1 analyst that rates Paychex a buy, 3 analysts rate it a sell, and 19 rate it a hold.

TheStreet Ratings rates Paychex as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins, increase in net income, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value. Get the full Paychex Ratings Report now.

3x UPSIDE POTENTIAL: 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, Visa ( V) is up $2.22 (1.3%) to $175.35 on average volume. Thus far, 1.6 million shares of Visa exchanged hands as compared to its average daily volume of 3.7 million shares. The stock has ranged in price between $172.21-$176.89 after having opened the day at $172.71 as compared to the previous trading day's close of $173.13.

Visa Inc., a payments technology company, engages in the operation of retail electronic payments network worldwide. It facilitates commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses, and government entities. Visa has a market cap of $89.5 billion and is part of the financial sector. Shares are up 14.2% year to date as of the close of trading on Friday. Currently there are 21 analysts that rate Visa a buy, no analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates Visa 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, expanding profit margins, good cash flow from operations and compelling growth 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 Visa Ratings Report now.

3x UPSIDE POTENTIAL: 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 diversified services industry could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the diversified services industry could consider ProShares Ultra Short Consumer Sers ( SCC).

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