4 Stocks Underperforming Today In The Telecommunications Industry

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 126 points (-0.8%) at 15,723 as of Friday, Jan. 31, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,087 issues advancing vs. 1,837 declining with 186 unchanged.

The Telecommunications industry currently sits down 0.4% versus the S&P 500, which is down 0.5%. On the negative front, top decliners within the industry include Telecom Italia SpA ( TI.A), down 1.6%, Telecom Italia SpA ( TI), down 1.2%, America Movil S.A.B. de C.V ( AMOV), down 1.2% and Telekomunikasi Indonesia (Persero) Tbk ( TLK), down 0.9%.

TheStreet would like to highlight 4 stocks pushing the industry lower today:

4. Telefonica ( TEF) is one of the companies pushing the Telecommunications industry lower today. As of noon trading, Telefonica is down $0.22 (-1.4%) to $15.40 on light volume. Thus far, 377,669 shares of Telefonica exchanged hands as compared to its average daily volume of 1.0 million shares. The stock has ranged in price between $15.23-$15.42 after having opened the day at $15.24 as compared to the previous trading day's close of $15.62.

Telefonica, S.A. provides fixed and mobile communication services primarily in Europe and Latin America. The company offers mobile voice, value added, mobile data and Internet, wholesale, corporate, roaming, fixed wireless, and trunking and paging services, as well as mobile payment solutions. Telefonica has a market cap of $70.3 billion and is part of the technology sector. Shares are down 4.4% year-to-date as of the close of trading on Thursday. Currently there are 2 analysts that rate Telefonica a buy, 1 analyst rates it a sell, and 2 rate it a hold.

TheStreet Ratings rates Telefonica as a buy. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year 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 Telefonica 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, LM Ericsson Telephone Company ( ERIC) is down $0.26 (-2.1%) to $12.29 on heavy volume. Thus far, 5.0 million shares of LM Ericsson Telephone Company exchanged hands as compared to its average daily volume of 3.6 million shares. The stock has ranged in price between $12.18-$12.30 after having opened the day at $12.26 as compared to the previous trading day's close of $12.55.

Ericsson provides telecommunications equipment and services to mobile and fixed network operators worldwide. It operates in four segments: Networks, Global Services, Support Solutions, and ST-Ericsson. LM Ericsson Telephone Company has a market cap of $39.5 billion and is part of the technology sector. The company has a P/E ratio of 15.8, below the S&P 500 P/E ratio of 17.7. Shares are down 2.4% year-to-date as of the close of trading on Thursday. Currently there are 4 analysts that rate LM Ericsson Telephone Company a buy, 2 analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates LM Ericsson Telephone Company as a hold. The company's strengths can be seen in multiple areas, such as its increase in net income, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity and weak operating cash flow. Get the full LM Ericsson Telephone Company 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, America Movil S.A.B. de C.V ( AMX) is down $0.29 (-1.3%) to $21.14 on light volume. Thus far, 1.3 million shares of America Movil S.A.B. de C.V exchanged hands as compared to its average daily volume of 6.2 million shares. The stock has ranged in price between $20.94-$21.32 after having opened the day at $21.31 as compared to the previous trading day's close of $21.43.

America Movil, S.A.B. de C.V. provides telecommunications services in the United States, Latin America, and the Caribbean. It offers mobile and fixed voice services, including airtime, local, long-distance services, public telephony services, and network interconnection services. America Movil S.A.B. de C.V has a market cap of $76.0 billion and is part of the technology sector. The company has a P/E ratio of 11.7, below the S&P 500 P/E ratio of 17.7. Shares are down 8.3% year-to-date as of the close of trading on Thursday. Currently there are 2 analysts that rate America Movil S.A.B. de C.V a buy, 1 analyst rates it a sell, and 7 rate it a hold.

TheStreet Ratings rates America Movil S.A.B. de C.V as a hold. The company's strengths can be seen in multiple areas, such as its notable return on equity and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and a generally disappointing performance in the stock itself. Get the full America Movil S.A.B. de C.V 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, Nokia Oyj ( NOK) is down $0.11 (-1.6%) to $6.92 on light volume. Thus far, 7.5 million shares of Nokia Oyj exchanged hands as compared to its average daily volume of 23.4 million shares. The stock has ranged in price between $6.87-$6.94 after having opened the day at $6.91 as compared to the previous trading day's close of $7.03.

Nokia Corporation operates as a mobile communications company worldwide. It operates in three segments: Devices & Services, HERE, and Nokia Siemens Networks. Nokia Oyj has a market cap of $26.4 billion and is part of the technology sector. Shares are down 13.3% year-to-date as of the close of trading on Thursday. Currently there are 4 analysts that rate Nokia Oyj a buy, 1 analyst rates it a sell, and 16 rate it a hold.

TheStreet Ratings rates Nokia Oyj as a hold. The company's strengths can be seen in multiple areas, such as its solid stock price performance, compelling growth in net income and good cash flow from operations. However, as a counter to these strengths, we find that the company has favored debt over equity in the management of its balance sheet. Get the full Nokia Oyj 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 telecommunications industry could consider iShares Dow Jones US Telecom ( IYZ) while those bearish on the telecommunications industry could consider ProShares Ult Sht Telecommunication ( TLL).
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