3 Stocks Pulling The Services 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 147 points (1.0%) at 15,587 as of Thursday, Feb. 6, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 2,311 issues advancing vs. 626 declining with 152 unchanged.

The Services sector currently sits up 1.3% versus the S&P 500, which is up 1.0%. Top gainers within the sector include Advance Auto Parts ( AAP), up 12.7%, O'Reilly Automotive ( ORLY), up 9.1%, Alliance Data Systems Corporation ( ADS), up 8.2%, Fleetcor Technologies ( FLT), up 7.6% and Walt Disney ( DIS), up 5.2%.

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

3. Shutterfly ( SFLY) is one of the companies pushing the Services sector lower today. As of noon trading, Shutterfly is down $6.59 (-13.3%) to $43.08 on heavy volume. Thus far, 3.8 million shares of Shutterfly exchanged hands as compared to its average daily volume of 729,700 shares. The stock has ranged in price between $42.43-$46.29 after having opened the day at $45.25 as compared to the previous trading day's close of $49.67.

Shutterfly, Inc. provides digital personalized photo products and services in the United States. It offers a range of personalized photo-based products and services for consumers to upload, edit, enhance, organize, find, share, create, print, and preserve their memories. Shutterfly has a market cap of $1.9 billion and is part of the diversified services industry. Shares are down 2.6% year-to-date as of the close of trading on Wednesday. Currently there are 8 analysts that rate Shutterfly a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Shutterfly as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and reasonable valuation levels. However, as a counter to these strengths, we find that the growth in the company's earnings per share has not been good. Get the full Shutterfly 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, Fiserv ( FISV) is down $1.03 (-1.9%) to $54.70 on average volume. Thus far, 686,145 shares of Fiserv exchanged hands as compared to its average daily volume of 1.1 million shares. The stock has ranged in price between $54.59-$55.99 after having opened the day at $55.03 as compared to the previous trading day's close of $55.73.

Fiserv, Inc., together with its subsidiaries, provides financial services technology worldwide. Fiserv has a market cap of $14.3 billion and is part of the diversified services industry. Shares are down 6.0% year-to-date as of the close of trading on Wednesday. Currently there are 8 analysts that rate Fiserv a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Fiserv as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, increase in net income, good cash flow from operations and expanding profit margins. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Fiserv 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, Pandora Media ( P) is down $4.20 (-11.7%) to $31.63 on heavy volume. Thus far, 11.7 million shares of Pandora Media exchanged hands as compared to its average daily volume of 8.8 million shares. The stock has ranged in price between $31.60-$34.00 after having opened the day at $33.18 as compared to the previous trading day's close of $35.83.

Pandora Media, Inc. provides Internet radio services in the United States. The company allows listeners to create up to 100 personalized stations to access unlimited hours of free music and comedy, as well as offers Pandora One, a paid subscription service to listeners. Pandora Media has a market cap of $7.0 billion and is part of the media industry. Shares are up 34.7% year-to-date as of the close of trading on Wednesday. Currently there are 11 analysts that rate Pandora Media a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Pandora Media as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income and feeble growth in its earnings per share. Get the full Pandora Media 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 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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