5 Energy 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.

All three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading up 119 points (0.7%) at 16,493 as of Wednesday, Jan. 15, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,941 issues advancing vs. 990 declining with 158 unchanged.

The Energy industry currently sits up 0.2% versus the S&P 500, which is up 0.5%. On the negative front, top decliners within the industry include Marathon Petroleum ( MPC), down 3.8%, Valero Energy Corporation ( VLO), down 2.8% and Schlumberger ( SLB), down 0.6%. Top gainers within the industry include SM Energy ( SM), up 3.6%, Anadarko Petroleum ( APC), up 0.9% and Ecopetrol S.A ( EC), up 0.8%.

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

5. Kosmos Energy ( KOS) is one of the companies pushing the Energy industry lower today. As of noon trading, Kosmos Energy is down $0.97 (-8.7%) to $10.14 on heavy volume. Thus far, 1.6 million shares of Kosmos Energy exchanged hands as compared to its average daily volume of 570,400 shares. The stock has ranged in price between $10.11-$10.97 after having opened the day at $10.90 as compared to the previous trading day's close of $11.11.

Kosmos Energy Ltd. engages in the exploration and production of oil and gas in Africa and South America. Kosmos Energy has a market cap of $4.2 billion and is part of the basic materials sector. Shares are down 0.6% year-to-date as of the close of trading on Tuesday. Currently there are 4 analysts that rate Kosmos Energy a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Kosmos Energy as a sell. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, unimpressive growth in net income and generally disappointing historical performance in the stock itself. Get the full Kosmos Energy 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, Hess ( HES) is down $1.31 (-1.6%) to $78.22 on heavy volume. Thus far, 2.4 million shares of Hess exchanged hands as compared to its average daily volume of 2.5 million shares. The stock has ranged in price between $78.18-$79.18 after having opened the day at $78.67 as compared to the previous trading day's close of $79.53.

Hess Corporation, together with its subsidiaries, operates as an independent energy company worldwide. It operates in two segments, Exploration and Production (E&P), and Marketing and Refining (M&R). Hess has a market cap of $26.6 billion and is part of the basic materials sector. The company has a P/E ratio of 7.9, below the S&P 500 P/E ratio of 17.7. Shares are down 4.2% year-to-date as of the close of trading on Tuesday. Currently there are 7 analysts that rate Hess a buy, no analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates Hess as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, reasonable valuation levels, expanding profit margins, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Hess 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, Tesoro Corporation ( TSO) is down $1.50 (-2.8%) to $53.01 on average volume. Thus far, 2.2 million shares of Tesoro Corporation exchanged hands as compared to its average daily volume of 3.7 million shares. The stock has ranged in price between $52.82-$54.55 after having opened the day at $54.53 as compared to the previous trading day's close of $54.51.

Tesoro Corporation, together with its subsidiaries, engages in refining and marketing petroleum products in the United States. It operates in two segments, Refining and Retail. Tesoro Corporation has a market cap of $7.3 billion and is part of the basic materials sector. The company has a P/E ratio of 17.0, below the S&P 500 P/E ratio of 17.7. Shares are down 6.8% year-to-date as of the close of trading on Tuesday. Currently there are 6 analysts that rate Tesoro Corporation a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Tesoro Corporation as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Tesoro 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, Phillips 66 ( PSX) is down $0.99 (-1.3%) to $75.50 on average volume. Thus far, 1.3 million shares of Phillips 66 exchanged hands as compared to its average daily volume of 3.3 million shares. The stock has ranged in price between $75.39-$76.52 after having opened the day at $76.41 as compared to the previous trading day's close of $76.49.

Phillips 66 operates as an independent downstream energy company. The company operates in three segments: Refining and Marketing (R&M), Midstream, and Chemicals. Phillips 66 has a market cap of $45.5 billion and is part of the basic materials sector. The company has a P/E ratio of 13.2, below the S&P 500 P/E ratio of 17.7. Shares are down 0.8% year-to-date as of the close of trading on Tuesday. Currently there are 7 analysts that rate Phillips 66 a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Phillips 66 as a hold. 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 and notable return on equity. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, unimpressive growth in net income and poor profit margins. Get the full Phillips 66 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, Transocean ( RIG) is down $0.73 (-1.5%) to $47.58 on light volume. Thus far, 1.6 million shares of Transocean exchanged hands as compared to its average daily volume of 6.1 million shares. The stock has ranged in price between $47.58-$48.35 after having opened the day at $48.27 as compared to the previous trading day's close of $48.31.

Transocean Ltd. provides offshore contract drilling services for oil and gas wells worldwide. It offers deepwater and harsh environment drilling, oil and gas drilling management, and drilling engineering and drilling project management services, as well as logistics services. Transocean has a market cap of $17.1 billion and is part of the basic materials sector. The company has a P/E ratio of 10.7, below the S&P 500 P/E ratio of 17.7. Shares are down 2.2% year-to-date as of the close of trading on Tuesday. Currently there are 6 analysts that rate Transocean a buy, 4 analysts rate it a sell, and 12 rate it a hold.

TheStreet Ratings rates Transocean as a buy. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth, attractive valuation levels, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Transocean 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 energy industry could consider Energy Select Sector SPDR ( XLE) while those bearish on the energy industry could consider Proshares Short Oil & Gas ( DDG).

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