EC, SDRL And RIG, Pushing Energy Industry 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 118 points (0.7%) at 16,381 as of Wednesday, April 16, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 2,313 issues advancing vs. 673 declining with 149 unchanged.

The Energy industry currently sits up 0.9% versus the S&P 500, which is up 0.7%. Top gainers within the industry include Weatherford International ( WFT), up 5.0%, Pioneer Natural Resources Company ( PXD), up 2.2%, Devon Energy ( DVN), up 2.1%, Petroleo Brasileiro SA Petrobras ( PBR), up 1.9% and PetroChina ( PTR), up 1.8%.

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

3. Ecopetrol S.A ( EC) is one of the companies pushing the Energy industry lower today. As of noon trading, Ecopetrol S.A is down $0.90 (-2.2%) to $40.26 on average volume. Thus far, 426,986 shares of Ecopetrol S.A exchanged hands as compared to its average daily volume of 603,900 shares. The stock has ranged in price between $39.86-$41.29 after having opened the day at $41.27 as compared to the previous trading day's close of $41.16.

Ecopetrol S.A., an integrated oil company, engages in the exploration, development, and production of crude oil and natural gas Colombia. The company operates in four segments: Exploration and Production, Refining and Petrochemicals, Transportation, and Market and Supply. Ecopetrol S.A has a market cap of $84.5 billion and is part of the basic materials sector. Shares are up 7.0% year-to-date as of the close of trading on Tuesday. Currently there is 1 analyst that rates Ecopetrol S.A a buy, 2 analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Ecopetrol S.A as a buy. Get the full Ecopetrol S.A 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, Seadrill ( SDRL) is down $0.68 (-2.0%) to $33.18 on average volume. Thus far, 2.4 million shares of Seadrill exchanged hands as compared to its average daily volume of 4.9 million shares. The stock has ranged in price between $33.14-$34.00 after having opened the day at $33.99 as compared to the previous trading day's close of $33.86.

Seadrill Limited provides offshore drilling services to the oil and gas industry worldwide. The company operates in three segments: Floaters, Jack-up Rigs, and Tender Rigs. Seadrill has a market cap of $15.8 billion and is part of the basic materials sector. Shares are down 17.6% year-to-date as of the close of trading on Tuesday. Currently there are 5 analysts that rate Seadrill a buy, 2 analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Seadrill as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, notable return on equity, expanding profit margins, good cash flow from operations and compelling growth in net income. 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 Seadrill 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 $0.87 (-2.1%) to $40.62 on average volume. Thus far, 3.2 million shares of Transocean exchanged hands as compared to its average daily volume of 5.6 million shares. The stock has ranged in price between $40.42-$41.47 after having opened the day at $41.39 as compared to the previous trading day's close of $41.49.

Transocean Ltd., together with its subsidiaries, provides offshore contract drilling services for oil and gas wells worldwide. The company provides deepwater and harsh environment drilling, oil and gas drilling management, and drilling engineering and drilling project management services. Transocean has a market cap of $14.9 billion and is part of the basic materials sector. Shares are down 16.1% year-to-date as of the close of trading on Tuesday. Currently there are 5 analysts that rate Transocean a buy, 4 analysts rate it a sell, and 14 rate it a hold.

TheStreet Ratings rates Transocean as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, poor profit margins and 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 3 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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