3 Services Stocks Driving The Sector Higher

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.

One out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading up 49 points (0.3%) at 16,411 as of Monday, April 28, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,415 issues advancing vs. 1,576 declining with 152 unchanged.

The Services sector currently sits down 0.9% versus the S&P 500, which is unchanged. Top gainers within the sector include Susser Holdings ( SUSS), up 35.5%, Charter Communications ( CHTR), up 6.2%, Cardinal Health ( CAH), up 1.3%, Target ( TGT), up 1.3% and Costco Wholesale ( COST), up 0.8%. On the negative front, top decliners within the sector include New Oriental Education & Technology Group I ( EDU), down 9.5%, Vipshop Holdings ( VIPS), down 6.4%, Melco Crown Entertainment ( MPEL), down 6.3%, Ryanair Holdings ( RYAAY), down 5.6% and Netflix ( NFLX), down 5.2%.

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

3. Wal-Mart Stores ( WMT) is one of the companies pushing the Services sector higher today. As of noon trading, Wal-Mart Stores is up $0.91 (1.2%) to $79.53 on average volume. Thus far, 4.5 million shares of Wal-Mart Stores exchanged hands as compared to its average daily volume of 7.0 million shares. The stock has ranged in price between $78.83-$79.98 after having opened the day at $78.86 as compared to the previous trading day's close of $78.62.

Wal-Mart Stores, Inc. operates retail stores in various formats worldwide. The company operates through three segments: Walmart U.S., Walmart International, and Sam's Club. Wal-Mart Stores has a market cap of $252.7 billion and is part of the retail industry. The company has a P/E ratio of 15.4, below the S&P 500 P/E ratio of 17.7. Shares are down 0.1% year-to-date as of the close of trading on Friday. Currently there are 8 analysts who rate Wal-Mart Stores a buy, 1 analyst rates it a sell, and 9 rate it a hold.

TheStreet Ratings rates Wal-Mart Stores as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, reasonable valuation levels, increase in stock price during the past year and notable return on equity. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Wal-Mart Stores Ratings Report now.

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2. As of noon trading, Home Depot ( HD) is up $1.37 (1.7%) to $80.75 on heavy volume. Thus far, 5.8 million shares of Home Depot exchanged hands as compared to its average daily volume of 7.2 million shares. The stock has ranged in price between $79.53-$81.15 after having opened the day at $79.53 as compared to the previous trading day's close of $79.38.

The Home Depot, Inc. operates as a home improvement retailer. Home Depot has a market cap of $109.1 billion and is part of the retail industry. The company has a P/E ratio of 21.2, above the S&P 500 P/E ratio of 17.7. Shares are down 3.6% year-to-date as of the close of trading on Friday. Currently there are 12 analysts who rate Home Depot a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Home Depot as a buy. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, notable return on equity, good cash flow from operations, increase in stock price during the past year and reasonable valuation levels. 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 Home Depot 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.

1. As of noon trading, Visa ( V) is up $1.52 (0.8%) to $200.45 on heavy volume. Thus far, 3.6 million shares of Visa exchanged hands as compared to its average daily volume of 3.6 million shares. The stock has ranged in price between $199.01-$201.49 after having opened the day at $199.50 as compared to the previous trading day's close of $198.93.

Visa Inc., a payments technology company, operates as a retail electronic payments network worldwide. The company facilitates commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses, and government entities. Visa has a market cap of $105.6 billion and is part of the financial services industry. The company has a P/E ratio of 28.8, above the S&P 500 P/E ratio of 17.7. Shares are down 10.7% year-to-date as of the close of trading on Friday. Currently there are 21 analysts who rate Visa a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Visa as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, compelling growth in net income 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 Visa 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 3 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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