4 Stocks Moving The Services Sector Upward

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 164 points (-1.0%) at 16,209 as of Thursday, Jan. 23, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 966 issues advancing vs. 2,022 declining with 119 unchanged.

The Services sector currently sits down 1.0% versus the S&P 500, which is down 0.9%. Top gainers within the sector include Netflix ( NFLX), up 14.8%, Delhaize Group ( DEG), up 8.2% and eBay ( EBAY), up 1.1%. On the negative front, top decliners within the sector include American Eagle Outfitters ( AEO), down 9.5%, New Oriental Education & Technology Group I ( EDU), down 7.4%, GNC Holdings ( GNC), down 6.0%, Vipshop Holdings ( VIPS), down 5.6% and Jacobs Engineering Group ( JEC), down 3.5%.

TheStreet would like to highlight 4 stocks pushing the sector higher today:

4. GATX ( GMT) is one of the companies pushing the Services sector higher today. As of noon trading, GATX is up $7.80 (15.1%) to $59.63 on heavy volume. Thus far, 461,183 shares of GATX exchanged hands as compared to its average daily volume of 188,600 shares. The stock has ranged in price between $53.90-$59.94 after having opened the day at $53.90 as compared to the previous trading day's close of $51.83.

GATX Corporation leases, operates, manages, and remarkets assets in the rail and marine markets in North America and internationally. The company operates in four segments: Rail North America, Rail International, American Steamship Company (ASC), and Portfolio Management. GATX has a market cap of $2.4 billion and is part of the diversified services industry. The company has a P/E ratio of 17.0, below 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 Wednesday. Currently there are 3 analysts who rate GATX a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates GATX as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels, expanding profit margins, good cash flow from operations and growth in earnings per share. 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 GATX Ratings Report now.

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3. As of noon trading, Norfolk Southern Corporation ( NSC) is up $1.43 (1.5%) to $94.37 on heavy volume. Thus far, 1.5 million shares of Norfolk Southern Corporation exchanged hands as compared to its average daily volume of 1.6 million shares. The stock has ranged in price between $93.64-$95.10 after having opened the day at $93.81 as compared to the previous trading day's close of $92.94.

Norfolk Southern Corporation engages in the rail transportation of raw materials, intermediate products, and finished goods in the United States. Norfolk Southern Corporation has a market cap of $27.4 billion and is part of the transportation industry. The company has a P/E ratio of 15.6, below the S&P 500 P/E ratio of 17.7. Shares are up 0.1% year-to-date as of the close of trading on Wednesday. Currently there are 7 analysts who rate Norfolk Southern Corporation a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates Norfolk Southern Corporation as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, attractive valuation levels, increase in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Norfolk Southern Corporation Ratings Report now.

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2. As of noon trading, McKesson ( MCK) is up $2.98 (1.8%) to $172.66 on heavy volume. Thus far, 1.6 million shares of McKesson exchanged hands as compared to its average daily volume of 1.7 million shares. The stock has ranged in price between $171.54-$174.30 after having opened the day at $174.14 as compared to the previous trading day's close of $169.68.

McKesson Corporation, together with its subsidiaries, delivers pharmaceuticals, medical supplies, and health care information technologies to the healthcare industry primarily in the United States. It operates in two segments, McKesson Distribution Solutions and McKesson Technology Solutions. McKesson has a market cap of $38.7 billion and is part of the wholesale industry. The company has a P/E ratio of 28.3, above the S&P 500 P/E ratio of 17.7. Shares are up 5.1% year-to-date as of the close of trading on Wednesday. Currently there are 10 analysts who rate McKesson a buy, 1 analyst rates it a sell, and 3 rate it a hold.

TheStreet Ratings rates McKesson 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, 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 shows weak operating cash flow. Get the full McKesson Ratings Report now.

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1. As of noon trading, Union Pacific ( UNP) is up $5.61 (3.3%) to $174.11 on heavy volume. Thus far, 1.9 million shares of Union Pacific exchanged hands as compared to its average daily volume of 2.0 million shares. The stock has ranged in price between $172.05-$174.82 after having opened the day at $172.39 as compared to the previous trading day's close of $168.50.

Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, provides rail transportation services in North America. Union Pacific has a market cap of $77.4 billion and is part of the transportation industry. The company has a P/E ratio of 18.5, above the S&P 500 P/E ratio of 17.7. Shares are up 0.3% year-to-date as of the close of trading on Wednesday. Currently there are 13 analysts who 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.

3x UPSIDE POTENTIAL: 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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