3 Financial Services Stocks Dragging The Industry Down

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.

Two out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading down 12 points (-0.1%) at 16,435 as of Friday, May 16, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,512 issues advancing vs. 1,401 declining with 184 unchanged.

The Financial Services industry currently sits up 0.2% versus the S&P 500, which is unchanged. On the negative front, top decliners within the industry include Western Union ( WU), down 1.5%, CBOE Holdings ( CBOE), down 1.3%, Capital One Financial ( COF), down 1.0%, Charles Schwab ( SCHW), down 0.7% and Discover Financial Services ( DFS), down 0.5%. Top gainers within the industry include Bank of New York Mellon ( BK), up 0.8%, Blackstone Group ( BX), up 0.8% and Nomura Holdings ( NMR), up 0.5%.

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

3. Affiliated Managers Group ( AMG) is one of the companies pushing the Financial Services industry lower today. As of noon trading, Affiliated Managers Group is down $1.23 (-0.7%) to $184.66 on light volume. Thus far, 113,424 shares of Affiliated Managers Group exchanged hands as compared to its average daily volume of 513,700 shares. The stock has ranged in price between $184.04-$186.73 after having opened the day at $186.70 as compared to the previous trading day's close of $185.89.

Affiliated Managers Group, Inc., through its affiliates, operates as an asset management company providing investment management services to mutual funds, institutional clients, and high net worth individuals in the United States. It provides advisory or subadvisory services to mutual funds. Affiliated Managers Group has a market cap of $10.5 billion and is part of the financial sector. Shares are down 14.3% year-to-date as of the close of trading on Thursday. Currently there are 5 analysts that rate Affiliated Managers Group a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Affiliated Managers Group as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, notable return on equity, 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 Affiliated Managers Group Ratings Report now.

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2. As of noon trading, CME Group ( CME) is down $0.99 (-1.4%) to $68.49 on light volume. Thus far, 553,493 shares of CME Group exchanged hands as compared to its average daily volume of 1.9 million shares. The stock has ranged in price between $68.19-$69.52 after having opened the day at $69.52 as compared to the previous trading day's close of $69.48.

CME Group Inc., through its subsidiaries, operates contract markets for the trading of futures and options on futures contracts worldwide. CME Group has a market cap of $23.4 billion and is part of the financial sector. Shares are down 11.4% year-to-date as of the close of trading on Thursday. Currently there are 7 analysts that rate CME Group a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates CME Group as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in stock price during the past year, growth in earnings per share, reasonable valuation levels and expanding profit margins. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results. Get the full CME Group 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, Franklin Resources ( BEN) is down $0.32 (-0.6%) to $53.98 on average volume. Thus far, 1.2 million shares of Franklin Resources exchanged hands as compared to its average daily volume of 2.6 million shares. The stock has ranged in price between $53.47-$54.30 after having opened the day at $54.28 as compared to the previous trading day's close of $54.31.

Franklin Resources Inc. is a publicly owned asset management holding company. The firm provides its services to individuals, institutions, pension plans, trusts, and partnerships. It manages, through its subsidiary, separate client-focused equity, fixed income, and balanced portfolios. Franklin Resources has a market cap of $35.1 billion and is part of the financial sector. Shares are down 5.9% year-to-date as of the close of trading on Thursday. Currently there are 6 analysts that rate Franklin Resources a buy, no analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates Franklin Resources as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins, increase in stock price during the past year and notable return on equity. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Franklin Resources 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 financial services industry could consider Financial Select Sector SPDR ( XLF) while those bearish on the financial services industry could consider Proshares Short Financials ( SEF).

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