3 Food & Beverage 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.

All three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading up 16 points (0.1%) at 16,738 as of Wednesday, June 4, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,399 issues advancing vs. 1,611 declining with 145 unchanged.

The Food & Beverage industry currently is unchanged today versus the S&P 500, which is up 0.1%.

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

3. BRF ( BRFS) is one of the companies pushing the Food & Beverage industry lower today. As of noon trading, BRF is down $0.23 (-1.0%) to $21.97 on light volume. Thus far, 446,788 shares of BRF exchanged hands as compared to its average daily volume of 1.5 million shares. The stock has ranged in price between $21.94-$22.25 after having opened the day at $22.25 as compared to the previous trading day's close of $22.20.

BRF S.A., together with its subsidiaries, is engaged in raising, producing, and slaughtering poultry, pork, and beef in Brazil. It operates in four segments: Domestic Market, Foreign Market, Dairy Products, and Food Service. BRF has a market cap of $18.8 billion and is part of the consumer goods sector. Shares are up 6.4% year-to-date as of the close of trading on Tuesday. Currently there are 2 analysts that rate BRF a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates BRF 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 and good cash flow from operations. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full BRF 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, Bunge ( BG) is down $1.58 (-2.1%) to $75.10 on average volume. Thus far, 604,162 shares of Bunge exchanged hands as compared to its average daily volume of 950,200 shares. The stock has ranged in price between $75.00-$76.65 after having opened the day at $76.62 as compared to the previous trading day's close of $76.68.

Bunge Limited, through its subsidiaries, is engaged in agriculture and food businesses worldwide. It operates through five segments: Agribusiness, Sugar and Bioenergy, Edible Oil Products, Milling Products, and Fertilizer. Bunge has a market cap of $11.3 billion and is part of the consumer goods sector. Shares are down 6.6% year-to-date as of the close of trading on Tuesday. Currently there are 5 analysts that rate Bunge a buy, 1 analyst rates it a sell, and 2 rate it a hold.

TheStreet Ratings rates Bunge as a hold. The company's strongest point has been its a solid financial position based on a variety of debt and liquidity measures that we have looked at. At the same time, however, we also find weaknesses including deteriorating net income, disappointing return on equity and poor profit margins. Get the full Bunge 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, Mead Johnson Nutrition ( MJN) is down $0.87 (-1.0%) to $88.58 on light volume. Thus far, 305,824 shares of Mead Johnson Nutrition exchanged hands as compared to its average daily volume of 1.4 million shares. The stock has ranged in price between $88.51-$89.34 after having opened the day at $89.20 as compared to the previous trading day's close of $89.45.

Mead Johnson Nutrition Company manufactures, distributes, and sells infant formulas, children's nutrition, and other nutritional products. Mead Johnson Nutrition has a market cap of $18.1 billion and is part of the consumer goods sector. Shares are up 6.8% year-to-date as of the close of trading on Tuesday. Currently there are 6 analysts that rate Mead Johnson Nutrition a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Mead Johnson Nutrition as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, expanding profit margins, increase in net income and notable return on equity. 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 Mead Johnson Nutrition 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 food & beverage industry could consider PowerShares Dynamic Food & Beverage ( PBJ) while those bearish on the food & beverage industry could consider PowerShares DB Agriculture Sht ETN ( ADZ).

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