3 Stocks Dragging The Basic Materials Sector 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 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 Basic Materials sector currently sits down 0.9% versus the S&P 500, which is down 0.9%. On the negative front, top decliners within the sector include Seadrill ( SDRL), down 5.1%, Ecopetrol ( EC), down 2.6%, Cheniere Energy ( LNG), down 2.5%, Phillips 66 ( PSX), down 1.7% and Tenaris ( TS), down 1.4%. A company within the sector that increased today was Goldcorp ( GG), up 1.1%.

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

3. Halliburton ( HAL) is one of the companies pushing the Basic Materials sector lower today. As of noon trading, Halliburton is down $1.09 (-1.6%) to $69.07 on average volume. Thus far, 2.9 million shares of Halliburton exchanged hands as compared to its average daily volume of 6.6 million shares. The stock has ranged in price between $68.96-$70.14 after having opened the day at $70.02 as compared to the previous trading day's close of $70.16.

Halliburton Company provides a range of services and products for the exploration, development, and production of oil and natural gas to oil and gas companies worldwide. The company operates in two segments, Completion and Production, and Drilling and Evaluation. Halliburton has a market cap of $59.9 billion and is part of the energy industry. Shares are up 38.2% year-to-date as of the close of trading on Monday. Currently there are 21 analysts that rate Halliburton a buy, 1 analyst rates it a sell, and 4 rate it a hold.

TheStreet Ratings rates Halliburton as a buy. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth, solid stock price performance, good cash flow from operations and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Halliburton 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, Schlumberger ( SLB) is down $0.85 (-0.7%) to $116.58 on average volume. Thus far, 3.5 million shares of Schlumberger exchanged hands as compared to its average daily volume of 5.7 million shares. The stock has ranged in price between $116.24-$117.35 after having opened the day at $117.05 as compared to the previous trading day's close of $117.43.

Schlumberger Limited, together with its subsidiaries, supplies technology, integrated project management, and information solutions to oil and gas exploration and production industries worldwide. It operates through three groups: Reservoir Characterization, Drilling, and Production. Schlumberger has a market cap of $153.0 billion and is part of the energy industry. Shares are up 30.3% year-to-date as of the close of trading on Monday. Currently there are 24 analysts that rate Schlumberger a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Schlumberger 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, impressive record of earnings per share growth and notable return on equity. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Schlumberger 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, Chevron ( CVX) is down $0.65 (-0.5%) to $129.82 on average volume. Thus far, 2.2 million shares of Chevron exchanged hands as compared to its average daily volume of 5.8 million shares. The stock has ranged in price between $129.52-$130.38 after having opened the day at $129.70 as compared to the previous trading day's close of $130.47.

Chevron Corporation, through its subsidiaries, is engaged in petroleum, chemicals, mining, power generation, and energy operations worldwide. The company operates in two segments, Upstream and Downstream. Chevron has a market cap of $249.7 billion and is part of the energy industry. Shares are up 4.5% year-to-date as of the close of trading on Monday. Currently there are 9 analysts that rate Chevron a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Chevron 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, attractive valuation levels, good cash flow from operations and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had somewhat weak growth in earnings per share. Get the full Chevron 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 basic materials sector could consider Materials Select Sector SPDR ( XLB) while those bearish on the basic materials sector could consider ProShares Short Basic Materials Fd ( SBM).

null

More from Markets

Dow Falls Sharply as Apple's Slump Offsets Gains in General Electric

Dow Falls Sharply as Apple's Slump Offsets Gains in General Electric

Video: How to Select Mutual Funds in Your 401(k)

Video: How to Select Mutual Funds in Your 401(k)

Nucor Is Waiting to See if Steel Tariffs Will Be Implemented, Jim Cramer Says

Nucor Is Waiting to See if Steel Tariffs Will Be Implemented, Jim Cramer Says

Tesla Faces Investigation After Subcontractor Is Injured on the Job

Tesla Faces Investigation After Subcontractor Is Injured on the Job

Video: Jim Cramer on Apple, Amazon, Alphabet and Nucor

Video: Jim Cramer on Apple, Amazon, Alphabet and Nucor