5 Diversified Services Stocks Dragging The Industry Down

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 81 points (-0.5%) at 15,762 as of Thursday, Dec. 12, 2013, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,157 issues advancing vs. 1,771 declining with 147 unchanged.

The Diversified Services industry currently sits up 0.2% versus the S&P 500, which is down 0.2%. On the negative front, top decliners within the industry include Visa ( V), down 0.9%, and MasterCard Incorporated ( MA), down 0.6%. A company within the industry that increased today was Western Union Company ( WU), up 0.8%.

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

5. HMS Holdings Corporation ( HMSY) is one of the companies pushing the Diversified Services industry lower today. As of noon trading, HMS Holdings Corporation is down $0.90 (-4.1%) to $21.10 on heavy volume. Thus far, 623,493 shares of HMS Holdings Corporation exchanged hands as compared to its average daily volume of 794,800 shares. The stock has ranged in price between $20.94-$22.03 after having opened the day at $22.01 as compared to the previous trading day's close of $21.99.

HMS Holdings Corp. provides cost containment services to government and private healthcare payers and sponsors. The company's services include co-ordination of benefits and program integrity services. HMS Holdings Corporation has a market cap of $2.0 billion and is part of the services sector. The company has a P/E ratio of 41.3, above the S&P 500 P/E ratio of 17.7. Shares are down 15.2% year to date as of the close of trading on Wednesday. Currently there are 5 analysts that rate HMS Holdings Corporation a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates HMS Holdings Corporation as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share and reasonable valuation levels. However, as a counter to these strengths, we find that the stock has had a generally disappointing performance in the past year. Get the full HMS Holdings 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.

4. As of noon trading, Jacobs Engineering Group ( JEC) is down $0.73 (-1.3%) to $56.91 on light volume. Thus far, 221,823 shares of Jacobs Engineering Group exchanged hands as compared to its average daily volume of 774,100 shares. The stock has ranged in price between $56.78-$57.72 after having opened the day at $57.48 as compared to the previous trading day's close of $57.64.

Jacobs Engineering Group Inc. provides technical, professional, and construction services to various industrial, commercial, and governmental clients worldwide. Jacobs Engineering Group has a market cap of $7.7 billion and is part of the services sector. The company has a P/E ratio of 18.1, above the S&P 500 P/E ratio of 17.7. Shares are up 37.6% year to date as of the close of trading on Wednesday. Currently there are 5 analysts that rate Jacobs Engineering Group a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates Jacobs Engineering Group 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, solid stock price performance, growth in earnings per share and increase in net income. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Jacobs Engineering Group 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, Vantiv ( VNTV) is down $0.55 (-1.9%) to $29.25 on light volume. Thus far, 531,218 shares of Vantiv exchanged hands as compared to its average daily volume of 1.7 million shares. The stock has ranged in price between $29.25-$30.00 after having opened the day at $29.75 as compared to the previous trading day's close of $29.80.

Vantiv, Inc. provides electronic integrated payment processing services in the United States. It operates in two segments, Merchant Services and Financial Institution Services. Vantiv has a market cap of $4.4 billion and is part of the services sector. The company has a P/E ratio of 35.9, above the S&P 500 P/E ratio of 17.7. Shares are up 45.9% year to date as of the close of trading on Wednesday. Currently there are 9 analysts that rate Vantiv a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Vantiv as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk and weak operating cash flow. Get the full Vantiv 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, AthenaHealth ( ATHN) is down $6.10 (-4.7%) to $124.75 on heavy volume. Thus far, 2.0 million shares of AthenaHealth exchanged hands as compared to its average daily volume of 476,400 shares. The stock has ranged in price between $122.70-$133.12 after having opened the day at $128.86 as compared to the previous trading day's close of $130.85.

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 $5.0 billion and is part of the services sector. Shares are up 82.5% year to date as of the close of trading on Wednesday. Currently there are 5 analysts that rate AthenaHealth a buy, 3 analysts rate it a sell, and 14 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, solid stock price performance 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 feeble growth in the company's earnings per share. Get the full AthenaHealth 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, Paychex ( PAYX) is down $0.31 (-0.7%) to $42.69 on average volume. Thus far, 1.1 million shares of Paychex exchanged hands as compared to its average daily volume of 2.2 million shares. The stock has ranged in price between $42.57-$43.07 after having opened the day at $42.92 as compared to the previous trading day's close of $43.00.

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 $15.8 billion and is part of the services sector. The company has a P/E ratio of 27.5, above the S&P 500 P/E ratio of 17.7. Shares are up 38.3% year to date as of the close of trading on Wednesday. Currently there is 1 analyst that rates Paychex a buy, 4 analysts rate it a sell, and 13 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, good cash flow from operations, growth in earnings per share and increase in net income. 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.

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 5 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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