5 Stocks Dragging The Services Sector Downward

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 39 points (-0.2%) at 16,431 as of Monday, Jan. 6, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,317 issues advancing vs. 1,618 declining with 151 unchanged.

The Services sector currently sits down 0.4% versus the S&P 500, which is down 0.3%. On the negative front, top decliners within the sector include Whole Foods Market ( WFM), down 3.6%, eBay ( EBAY), down 3.0%, Omnicom Group ( OMC), down 2.2%, Netflix ( NFLX), down 1.8% and Canadian Pacific Railway ( CP), down 1.8%. Top gainers within the sector include Pandora Media ( P), up 9.7%, Sirius XM Radio ( SIRI), up 6.6%, Tyco International ( TYC), up 1.3%, Liberty Global ( LBTYA), up 0.9% and Royal Philips ( PHG), up 0.9%.

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

5. Union Pacific ( UNP) is one of the companies pushing the Services sector lower today. As of noon trading, Union Pacific is down $1.69 (-1.0%) to $165.16 on light volume. Thus far, 430,671 shares of Union Pacific exchanged hands as compared to its average daily volume of 2.1 million shares. The stock has ranged in price between $164.97-$167.61 after having opened the day at $167.16 as compared to the previous trading day's close of $166.85.

Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, provides rail transportation services in North America. Union Pacific has a market cap of $77.0 billion and is part of the transportation industry. The company has a P/E ratio of 18.4, above the S&P 500 P/E ratio of 17.7. Shares are down 0.7% year to date as of the close of trading on Friday. Currently there are 12 analysts that rate Union Pacific a buy, no analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates Union Pacific as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, growth in earnings per share, notable return on equity 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 Union Pacific 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, CVS Caremark ( CVS) is down $0.71 (-1.0%) to $69.84 on light volume. Thus far, 1.7 million shares of CVS Caremark exchanged hands as compared to its average daily volume of 5.5 million shares. The stock has ranged in price between $69.67-$70.83 after having opened the day at $70.75 as compared to the previous trading day's close of $70.55.

CVS Caremark Corporation, together with its subsidiaries, provides integrated pharmacy health care services in the United States. CVS Caremark has a market cap of $83.8 billion and is part of the retail industry. The company has a P/E ratio of 19.6, above the S&P 500 P/E ratio of 17.7. Shares are down 1.4% year to date as of the close of trading on Friday. Currently there are 13 analysts that rate CVS Caremark a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates CVS Caremark as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full CVS Caremark 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, Wal-Mart Stores ( WMT) is down $0.54 (-0.7%) to $78.11 on light volume. Thus far, 2.1 million shares of Wal-Mart Stores exchanged hands as compared to its average daily volume of 5.9 million shares. The stock has ranged in price between $77.99-$78.91 after having opened the day at $78.86 as compared to the previous trading day's close of $78.65.

Wal-Mart Stores, Inc. operates retail stores in various formats worldwide. The company operates in three segments: Walmart U.S., Walmart International, and Sam's Club. Wal-Mart Stores has a market cap of $255.3 billion and is part of the retail industry. The company has a P/E ratio of 15.2, below the S&P 500 P/E ratio of 17.7. Shares are down 0.1% year to date as of the close of trading on Friday. Currently there are 10 analysts that rate Wal-Mart Stores a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Wal-Mart Stores as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, growth in earnings per share, increase in net income and increase in stock price during the past year. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Wal-Mart Stores 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 $0.44 (-0.5%) to $81.45 on light volume. Thus far, 1.9 million shares of Home Depot exchanged hands as compared to its average daily volume of 6.8 million shares. The stock has ranged in price between $81.34-$81.98 after having opened the day at $81.65 as compared to the previous trading day's close of $81.89.

The Home Depot, Inc. operates as a home improvement retailer. Home Depot has a market cap of $115.5 billion and is part of the retail industry. The company has a P/E ratio of 22.2, above the S&P 500 P/E ratio of 17.7. Shares are down 0.6% year to date as of the close of trading on Friday. Currently there are 11 analysts that rate Home Depot a buy, no analysts rate it a sell, and 8 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, compelling growth in net income, revenue growth, notable return on equity and good cash flow from operations. 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 $5.14 (-1.3%) to $391.30 on average volume. Thus far, 1.5 million shares of Amazon.com exchanged hands as compared to its average daily volume of 3.0 million shares. The stock has ranged in price between $388.88-$397.00 after having opened the day at $395.85 as compared to the previous trading day's close of $396.44.

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 $182.2 billion and is part of the retail industry. The company has a P/E ratio of 1421.3, above the S&P 500 P/E ratio of 17.7. Shares are down 0.2% year to date as of the close of trading on Friday. Currently there are 23 analysts that rate Amazon.com a buy, no analysts rate it a sell, and 6 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, good cash flow from operations and solid stock price performance. However, as a counter to these strengths, we find that the company's profit margins have been poor overall. 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 3 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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