3 Stocks Dragging The Telecommunications 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 down today with the Dow Jones Industrial Average ( ^DJI) trading down 29 points (-0.2%) at 16,714 as of Tuesday, June 3, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,066 issues advancing vs. 1,889 declining with 193 unchanged.

The Telecommunications industry currently sits down 0.6% versus the S&P 500, which is down 0.1%.

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

3. China Telecom ( CHA) is one of the companies pushing the Telecommunications industry lower today. As of noon trading, China Telecom is down $0.57 (-1.1%) to $49.28 on average volume. Thus far, 26,882 shares of China Telecom exchanged hands as compared to its average daily volume of 61,700 shares. The stock has ranged in price between $49.15-$49.35 after having opened the day at $49.18 as compared to the previous trading day's close of $49.85.

China Telecom Corporation Limited, together with its subsidiaries, provides wireline and mobile telecommunications services primarily in the People's Republic of China. China Telecom has a market cap of $41.0 billion and is part of the technology sector. Shares are down 1.4% year-to-date as of the close of trading on Monday. Currently there are 2 analysts that rate China Telecom a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates China Telecom as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, expanding profit margins and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we find that the stock has experienced relatively poor performance when compared with the S&P 500 during the past year. Get the full China Telecom 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, BT Group ( BT) is down $0.39 (-0.6%) to $66.70 on light volume. Thus far, 25,115 shares of BT Group exchanged hands as compared to its average daily volume of 92,300 shares. The stock has ranged in price between $66.27-$66.74 after having opened the day at $66.29 as compared to the previous trading day's close of $67.09.

BT Group plc provides communications services worldwide. The company operates through BT Global Services, BT Business, BT Consumer, BT Wholesale, and Openreach segments. BT Group has a market cap of $52.9 billion and is part of the technology sector. Shares are up 6.3% year-to-date as of the close of trading on Monday. Currently there are 4 analysts that rate BT Group a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates BT Group as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins and good cash flow from operations. 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 BT 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, Verizon Communications ( VZ) is down $0.47 (-0.9%) to $49.58 on light volume. Thus far, 7.8 million shares of Verizon Communications exchanged hands as compared to its average daily volume of 25.0 million shares. The stock has ranged in price between $49.35-$49.82 after having opened the day at $49.75 as compared to the previous trading day's close of $50.05.

Verizon Communications Inc., through its subsidiaries, provides communications, information and entertainment products and services to consumers, businesses, and governmental agencies worldwide. Verizon Communications has a market cap of $206.9 billion and is part of the technology sector. Shares are up 1.9% year-to-date as of the close of trading on Monday. Currently there are 20 analysts that rate Verizon Communications a buy, no analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates Verizon Communications as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, expanding profit margins, compelling growth in net income and impressive record of earnings per share growth. 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 Verizon Communications 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 telecommunications industry could consider iShares Dow Jones US Telecom ( IYZ) while those bearish on the telecommunications industry could consider ProShares Ult Sht Telecommunication ( TLL).

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