3 Stocks Pushing The Technology 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 65 points (-0.4%) at 16,380 as of Friday, Jan. 10, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,832 issues advancing vs. 1,123 declining with 123 unchanged.

The Technology sector currently sits down 0.2% versus the S&P 500, which is down 0.2%. On the negative front, top decliners within the sector include eBay ( EBAY), down 1.6%, Amazon.com ( AMZN), down 1.2%, Texas Instruments ( TXN), down 0.7% and Hewlett-Packard ( HPQ), down 0.7%. Top gainers within the sector include Telekomunikasi Indonesia (Persero) Tbk ( TLK), up 4.7%, Wipro ( WIT), up 2.5%, America Movil S.A.B. de C.V ( AMOV), up 2.4%, America Movil S.A.B. de C.V ( AMX), up 2.1% and NTT DoCoMo ( DCM), up 1.9%.

TheStreet would like to highlight 3 stocks pushing the sector lower today:

3. Alcatel-Lucent ( ALU) is one of the companies pushing the Technology sector lower today. As of noon trading, Alcatel-Lucent is down $0.14 (-3.2%) to $4.22 on average volume. Thus far, 9.6 million shares of Alcatel-Lucent exchanged hands as compared to its average daily volume of 16.2 million shares. The stock has ranged in price between $4.17-$4.26 after having opened the day at $4.26 as compared to the previous trading day's close of $4.36.

Alcatel Lucent Societe Anonyme provides Internet protocol (IP) and cloud networking, and ultra-broadband fixed and wireless access to service providers and their customers, enterprises, and institutions worldwide. It operates through three segments: Core Networking, Access, and Other. Alcatel-Lucent has a market cap of $10.5 billion and is part of the telecommunications industry. Shares are down 0.9% year-to-date as of the close of trading on Thursday. Currently there are 3 analysts that rate Alcatel-Lucent a buy, 1 analyst rates it a sell, and 5 rate it a hold.

TheStreet Ratings rates Alcatel-Lucent as a sell. The company's weaknesses can be seen in multiple areas, such as its generally high debt management risk and disappointing return on equity. Get the full Alcatel-Lucent 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, Sap ( SAP) is down $1.14 (-1.3%) to $83.48 on heavy volume. Thus far, 1.1 million shares of Sap exchanged hands as compared to its average daily volume of 1.0 million shares. The stock has ranged in price between $82.56-$83.50 after having opened the day at $82.91 as compared to the previous trading day's close of $84.62.

SAP AG provides enterprise application software and software-related services worldwide. It offers products in applications, analytics, cloud, mobile, and database and technology categories. Sap has a market cap of $102.0 billion and is part of the computer software & services industry. The company has a P/E ratio of 22.8, above the S&P 500 P/E ratio of 17.7. Shares are down 2.9% year-to-date as of the close of trading on Thursday. Currently there are 7 analysts that rate Sap a buy, 2 analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates Sap as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, compelling growth in net income, expanding profit margins and growth in earnings per share. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Sap 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, Qualcomm ( QCOM) is down $0.62 (-0.8%) to $73.30 on light volume. Thus far, 3.3 million shares of Qualcomm exchanged hands as compared to its average daily volume of 9.9 million shares. The stock has ranged in price between $73.26-$74.50 after having opened the day at $74.11 as compared to the previous trading day's close of $73.91.

QUALCOMM Incorporated designs, develops, manufactures, and markets digital communications products and services based on code division multiple access (CDMA), orthogonal frequency division multiple access (OFDMA), and other technologies. Qualcomm has a market cap of $124.5 billion and is part of the telecommunications industry. The company has a P/E ratio of 18.8, above the S&P 500 P/E ratio of 17.7. Shares are down 0.5% year-to-date as of the close of trading on Thursday. Currently there are 21 analysts that rate Qualcomm a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Qualcomm as a buy. 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, notable return on equity, impressive record of earnings per share growth and good cash flow from operations. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results. Get the full Qualcomm 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 technology sector could consider Technology Select Sector SPDR ( XLK) while those bearish on the technology sector could consider ProShares Ultra Short Technology ( REW).

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