3 Stocks Pulling The Basic Materials 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 up today with the Dow Jones Industrial Average ( ^DJI) trading up 80 points (0.5%) at 15,453 as of Tuesday, Feb. 4, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 2,024 issues advancing vs. 894 declining with 170 unchanged.

The Basic Materials sector currently sits up 0.5% versus the S&P 500, which is up 0.7%. On the negative front, top decliners within the sector include Helmerich & Payne ( HP), down 3.2%, Valero Energy Corporation ( VLO), down 2.4%, Phillips 66 ( PSX), down 1.3%, Suncor Energy ( SU), down 1.1% and Barrick Gold Corporation ( ABX), down 0.9%. Top gainers within the sector include YPF Sociedad Anonima ( YPF), up 5.5%, Pioneer Natural Resources Company ( PXD), up 4.3%, Cabot Oil & Gas Corporation ( COG), up 3.5%, Encana ( ECA), up 3.2% and Range Resources Corporation ( RRC), up 3.2%.

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

3. Sunoco Logistics Partners ( SXL) is one of the companies pushing the Basic Materials sector lower today. As of noon trading, Sunoco Logistics Partners is down $2.48 (-3.1%) to $76.37 on average volume. Thus far, 83,111 shares of Sunoco Logistics Partners exchanged hands as compared to its average daily volume of 176,100 shares. The stock has ranged in price between $76.15-$80.34 after having opened the day at $78.02 as compared to the previous trading day's close of $78.85.

Sunoco Logistics Partners L.P. engages in the transport, terminalling, and storage of crude oil and refined products in the United States. The company operates in four segments: Crude Oil Pipelines, Crude Oil Acquisition and Marketing, Terminal Facilities, and Refined Products Pipelines. Sunoco Logistics Partners has a market cap of $8.2 billion and is part of the energy industry. The company has a P/E ratio of 14.5, below the S&P 500 P/E ratio of 17.7. Shares are up 4.5% year-to-date as of the close of trading on Monday. Currently there are 2 analysts that rate Sunoco Logistics Partners a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Sunoco Logistics Partners 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 Sunoco Logistics Partners 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, Magellan Midstream Partners L.P ( MMP) is down $1.08 (-1.6%) to $64.67 on light volume. Thus far, 138,186 shares of Magellan Midstream Partners L.P exchanged hands as compared to its average daily volume of 476,800 shares. The stock has ranged in price between $64.63-$65.96 after having opened the day at $65.75 as compared to the previous trading day's close of $65.75.

Magellan Midstream Partners, L.P. engages in the transportation, storage, and distribution of petroleum products in the United States. Magellan Midstream Partners L.P has a market cap of $15.1 billion and is part of the energy industry. The company has a P/E ratio of 27.7, above the S&P 500 P/E ratio of 17.7. Shares are up 3.9% year-to-date as of the close of trading on Monday. Currently there are 5 analysts that rate Magellan Midstream Partners L.P a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Magellan Midstream Partners L.P as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, expanding profit margins, good cash flow from operations and impressive record of earnings per share growth. 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 Magellan Midstream Partners L.P 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, Energy Transfer Equity ( ETE) is down $0.77 (-1.9%) to $40.42 on average volume. Thus far, 806,477 shares of Energy Transfer Equity exchanged hands as compared to its average daily volume of 1.8 million shares. The stock has ranged in price between $39.79-$41.42 after having opened the day at $41.00 as compared to the previous trading day's close of $41.19.

Energy Transfer Equity, L.P., through its subsidiaries, provides diversified energy-related services in the United States. The company sells natural gas to electric utilities, independent power plants, local distribution companies, industrial end-users, and other marketing companies. Energy Transfer Equity has a market cap of $23.4 billion and is part of the energy industry. The company has a P/E ratio of 61.4, above the S&P 500 P/E ratio of 17.7. Shares are up 0.8% year-to-date as of the close of trading on Monday. Currently there are 7 analysts that rate Energy Transfer Equity a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Energy Transfer Equity as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, compelling growth in net income, good cash flow from operations, notable return on equity and solid stock price performance. 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 Energy Transfer Equity 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 basic materials sector could consider Materials Select Sector SPDR ( XLB) while those bearish on the basic materials sector could consider ProShares Short Basic Materials Fd ( SBM).

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