Dow Today: United Technologies (UTX) Leads The Day Higher, Merck (MRK) Lags

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.

The Dow Jones Industrial Average ( ^DJI) is trading down 34.0 points (-0.2%) at 16,709 as of Tuesday, Jun 3, 2014, 9:36 a.m. ET. During this time, 14 million shares of the 30 Dow components have changed hands vs. an average daily trading volume of 358.7 million. The NYSE advances/declines ratio sits at 874 issues advancing vs. 1,834 declining with 254 unchanged.
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The Dow component leading the way higher looks to be United Technologies (NYSE: UTX), which is sporting a 40-cent gain (+0.3%) bringing the stock to $117.80. Volume for United Technologies currently sits at 567,853 shares traded vs. an average daily trading volume of 3.2 million shares.

United Technologies has a market cap of $106.54 billion and is part of the industrial goods sector and aerospace/defense industry. Shares are up 3.2% year-to-date as of Monday's close. The stock's dividend yield sits at 2%.

United Technologies Corporation provides technology products and services to the building systems and aerospace industries worldwide.

TheStreet Ratings rates United Technologies as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures, solid stock price performance and reasonable valuation levels. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

Holding back the Dow today is Merck (NYSE: MRK), which is lagging the broader Dow index with a 54-cent decline (-0.9%) bringing the stock to $57.40. This single loss is lowering the Dow Jones Industrial Average by 4.09 points or roughly accounting for 12% of the Dow's overall loss. Volume for Merck currently sits at 548,459 shares traded vs. an average daily trading volume of 10.7 million shares.

Merck has a market cap of $169.09 billion and is part of the health care sector and drugs industry. Shares are up 15.7% year-to-date as of Monday's close. The stock's dividend yield sits at 3%.

Merck & Co., Inc. provides various health solutions through its prescription medicines, vaccines, biologic therapies, animal health, and consumer care products worldwide.

TheStreet Ratings rates Merck as a buy. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, expanding profit margins, solid stock price performance, growth in earnings per share and good cash flow from operations. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

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