3 Telecommunications Stocks Driving The Industry 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.

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 125 points (-0.7%) at 16,899 as of Tuesday, July 8, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 971 issues advancing vs. 2,018 declining with 168 unchanged.

The Telecommunications industry currently sits down 1.8% versus the S&P 500, which is down 0.9%. On the negative front, top decliners within the industry include Telecom Italia SpA ( TI), down 2.5%, TELUS ( TU), down 2.5% and LM Ericsson Telephone Company ( ERIC), down 1.6%.

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

3. China Unicom (Hong Kong ( CHU) is one of the companies pushing the Telecommunications industry higher today. As of noon trading, China Unicom (Hong Kong is up $0.20 (1.3%) to $15.73 on light volume. Thus far, 155,721 shares of China Unicom (Hong Kong exchanged hands as compared to its average daily volume of 444,100 shares. The stock has ranged in price between $15.71-$15.83 after having opened the day at $15.83 as compared to the previous trading day's close of $15.53.

China Unicom (Hong Kong) Limited, an investment holding company, provides cellular and fixed-line voice, broadband and other Internet-related, information communications technology, and business and data communications services in China. China Unicom (Hong Kong has a market cap of $37.6 billion and is part of the technology sector. Shares are up 3.1% year-to-date as of the close of trading on Monday. Currently there are 2 analysts who rate China Unicom (Hong Kong a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates China Unicom (Hong Kong as a hold. 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 and impressive record of earnings per share growth. However, as a counter to these strengths, we find that the company's profit margins have been poor overall. Get the full China Unicom (Hong Kong Ratings Report now.

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2. As of noon trading, Nippon Telegraph & Telephone ( NTT) is up $0.26 (0.8%) to $31.86 on average volume. Thus far, 185,229 shares of Nippon Telegraph & Telephone exchanged hands as compared to its average daily volume of 290,700 shares. The stock has ranged in price between $31.85-$32.12 after having opened the day at $32.12 as compared to the previous trading day's close of $31.60.

Nippon Telegraph and Telephone Corporation, together with its subsidiaries, provides fixed and mobile voice related services, IP/packet communications services, telecommunications equipment, and system integration and other telecommunications-related services in Japan. Nippon Telegraph & Telephone has a market cap of $70.5 billion and is part of the technology sector. Shares are up 16.9% year-to-date as of the close of trading on Monday. Currently there is 1 analyst who rates Nippon Telegraph & Telephone a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Nippon Telegraph & Telephone 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, solid stock price performance, growth in earnings per share and increase in net income. 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 Nippon Telegraph & Telephone Ratings Report now.

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1. As of noon trading, CenturyLink ( CTL) is up $0.41 (1.1%) to $36.53 on average volume. Thus far, 1.8 million shares of CenturyLink exchanged hands as compared to its average daily volume of 4.6 million shares. The stock has ranged in price between $36.10-$36.55 after having opened the day at $36.17 as compared to the previous trading day's close of $36.12.

CenturyLink, Inc. operates as an integrated telecommunications company in the United States. The company operates through four segments: Consumer, Business, Wholesale, and Data Hosting. CenturyLink has a market cap of $20.7 billion and is part of the technology sector. Shares are up 13.4% year-to-date as of the close of trading on Monday. Currently there are 6 analysts who rate CenturyLink a buy, 2 analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates CenturyLink as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins and increase in stock price during the past year. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow. Get the full CenturyLink Ratings Report now.

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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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