3 Stocks Dragging In The Consumer Goods Sector

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 91 points (-0.5%) at 16,894 as of Thursday, July 10, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 864 issues advancing vs. 2,123 declining with 163 unchanged.

The Consumer Goods sector currently sits down 1.0% versus the S&P 500, which is down 0.4%. On the negative front, top decliners within the sector include Royal Philips ( PHG), down 2.4%, Toyota Motor ( TM), down 1.6% and Philip Morris International ( PM), down 1.2%. A company within the sector that increased today was Archer-Daniels Midland ( ADM), up 2.2%.

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

3. Canon ( CAJ) is one of the companies pushing the Consumer Goods sector lower today. As of noon trading, Canon is down $0.44 (-1.4%) to $32.17 on average volume. Thus far, 177,979 shares of Canon exchanged hands as compared to its average daily volume of 253,500 shares. The stock has ranged in price between $32.00-$32.18 after having opened the day at $32.01 as compared to the previous trading day's close of $32.61.

Canon Inc. manufactures and sells office multifunction devices (MFDs), plain paper copying machines, laser printers, inkjet printers, cameras, and lithography equipment. Canon has a market cap of $36.4 billion and is part of the consumer durables industry. Shares are up 1.9% year-to-date as of the close of trading on Wednesday. Currently there are 2 analysts that rate Canon a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Canon 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, reasonable valuation levels, good cash flow from operations, expanding profit margins and growth in earnings per share. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full Canon 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, Honda Motor ( HMC) is down $0.59 (-1.7%) to $34.82 on average volume. Thus far, 369,765 shares of Honda Motor exchanged hands as compared to its average daily volume of 720,000 shares. The stock has ranged in price between $34.65-$35.00 after having opened the day at $34.91 as compared to the previous trading day's close of $35.41.

Honda Motor Co., Ltd. manufactures and sells motorcycles, automobiles, and power products. It operates through four segments: Motorcycle Business, Automobile Business, Financial Services Business, and Power Product and Other Businesses. Honda Motor has a market cap of $63.1 billion and is part of the automotive industry. Shares are down 14.4% year-to-date as of the close of trading on Wednesday. Currently there are 3 analysts that rate Honda Motor a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Honda Motor as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and poor profit margins. Get the full Honda Motor 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, Ford Motor ( F) is down $0.13 (-0.8%) to $17.30 on average volume. Thus far, 11.9 million shares of Ford Motor exchanged hands as compared to its average daily volume of 25.3 million shares. The stock has ranged in price between $17.17-$17.39 after having opened the day at $17.20 as compared to the previous trading day's close of $17.43.

Ford Motor Company develops, manufactures, distributes, and services vehicles, parts, and accessories worldwide. The company operates through two sectors, Automotive and Financial Services. The Automotive sector offers vehicles primarily under the Ford and Lincoln brand names. Ford Motor has a market cap of $66.4 billion and is part of the automotive industry. Shares are up 13.0% year-to-date as of the close of trading on Wednesday. Currently there are 8 analysts that rate Ford Motor a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Ford Motor as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, increase in stock price during the past year and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Ford Motor 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 consumer goods sector could consider iShares Dow Jones US Cons Goods ( IYK) while those bearish on the consumer goods sector could consider ProShares Ultra Sht Consumer Goods ( SZK).

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