5 Stocks Pushing The Services Sector Lower

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.

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 119 points (-0.8%) at 14,828 as of Tuesday, Aug. 27, 2013, 12:50 PM ET. The NYSE advances/declines ratio sits at 582 issues advancing vs. 2,376 declining with 94 unchanged.

The Services sector currently sits down 1.3% versus the S&P 500, which is down 1.0%. On the negative front, top decliners within the sector include United Continental Holdings ( UAL), down 8.0%, Delta Air Lines ( DAL), down 6.3%, Alaska Air Group ( ALK), down 5.5%, GameStop ( GME), down 3.9% and Royal Caribbean Cruises ( RCL), down 3.7%.

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

5. United Parcel Service Inc (UPS) Class B ( UPS) is one of the companies pushing the Services sector lower today. As of noon trading, United Parcel Service Inc (UPS) Class B is down $1.38 (-1.6%) to $85.82 on average volume. Thus far, 1.4 million shares of United Parcel Service Inc (UPS) Class B exchanged hands as compared to its average daily volume of 3.3 million shares. The stock has ranged in price between $85.60-$86.57 after having opened the day at $86.47 as compared to the previous trading day's close of $87.20.

United Parcel Service, Inc., a package delivery company, provides transportation, logistics, and financial services in the United States and internationally. It operates in three segments: U.S. Domestic Package, International Package, and Supply Chain and Freight. The U.S. United Parcel Service Inc (UPS) Class B has a market cap of $62.9 billion and is part of the transportation industry. Shares are up 18.3% year to date as of the close of trading on Monday. Currently there are 9 analysts that rate United Parcel Service Inc (UPS) Class B a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates United Parcel Service Inc (UPS) Class B as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, increase in stock price during the past year and notable return on equity. 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 United Parcel Service Inc (UPS) Class B 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.

4. As of noon trading, FedEx Corporation ( FDX) is down $3.96 (-3.5%) to $108.08 on light volume. Thus far, 952,954 shares of FedEx Corporation exchanged hands as compared to its average daily volume of 2.6 million shares. The stock has ranged in price between $107.92-$111.12 after having opened the day at $110.50 as compared to the previous trading day's close of $112.04.

FedEx Corporation provides transportation, e-commerce, and business services in the United States and internationally. It operates in four segments: FedEx Express, FedEx Ground, FedEx Freight, and FedEx Services. FedEx Corporation has a market cap of $35.0 billion and is part of the transportation industry. Shares are up 22.2% year to date as of the close of trading on Monday. Currently there are 14 analysts that rate FedEx Corporation a buy, 1 analyst rates it a sell, and 5 rate it a hold.

TheStreet Ratings rates FedEx 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, reasonable valuation levels and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full FedEx 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.

3. As of noon trading, Starbucks Corporation ( SBUX) is down $1.36 (-1.9%) to $70.52 on average volume. Thus far, 1.8 million shares of Starbucks Corporation exchanged hands as compared to its average daily volume of 4.5 million shares. The stock has ranged in price between $70.44-$71.37 after having opened the day at $70.90 as compared to the previous trading day's close of $71.88.

Starbucks Corporation operates as a roaster, marketer, and retailer of specialty coffee worldwide. As of September 30, 2012, the company operated 9,405 company-operated stores and 8,661 licensed stores. Starbucks Corporation has a market cap of $54.1 billion and is part of the leisure industry. Shares are up 34.2% year to date as of the close of trading on Monday. Currently there are 16 analysts that rate Starbucks Corporation a buy, no analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates Starbucks 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, notable return on equity, good cash flow from operations and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Starbucks 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.

2. As of noon trading, Home Depot ( HD) is down $1.14 (-1.5%) to $74.29 on average volume. Thus far, 3.6 million shares of Home Depot exchanged hands as compared to its average daily volume of 7.3 million shares. The stock has ranged in price between $74.11-$75.23 after having opened the day at $74.85 as compared to the previous trading day's close of $75.43.

The Home Depot, Inc. operates as a home improvement retailer. Home Depot has a market cap of $107.9 billion and is part of the retail industry. Shares are up 22.0% year to date as of the close of trading on Monday. Currently there are 11 analysts that rate Home Depot a buy, no analysts rate it a sell, and 9 rate it a hold.

TheStreet Ratings rates Home Depot as a buy. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, revenue growth, notable return on equity, compelling growth in net income and solid stock price performance. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full Home Depot 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, Amazon.com ( AMZN) is down $4.66 (-1.6%) to $281.55 on average volume. Thus far, 1.3 million shares of Amazon.com exchanged hands as compared to its average daily volume of 2.7 million shares. The stock has ranged in price between $281.12-$285.28 after having opened the day at $283.87 as compared to the previous trading day's close of $286.21.

Amazon.com, Inc. operates as an online retailer in North America and internationally. The company operates in two segments, North America and International. Amazon.com has a market cap of $132.5 billion and is part of the retail industry. Shares are up 15.6% year to date as of the close of trading on Monday. Currently there are 24 analysts that rate Amazon.com a buy, no analysts rate it a sell, and 9 rate it a hold.

TheStreet Ratings rates Amazon.com 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 good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and poor profit margins. Get the full Amazon.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.

If you are interested in one of these 4 stocks, 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).
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