3 Stocks Pulling The Services 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 up today with the Dow Jones Industrial Average ( ^DJI) trading up 7 points (0.0%) at 17,094 as of Thursday, July 24, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,609 issues advancing vs. 1,334 declining with 169 unchanged.

The Services sector currently sits up 0.1% versus the S&P 500, which is up 0.1%. On the negative front, top decliners within the sector include Liberty Media Corporation ( LMCB), down 64.7%, Life Time Fitness ( LTM), down 9.6%, New Oriental Education & Technology Group I ( EDU), down 5.0%, Liberty Ventures Class A ( LVNTA), down 4.8% and Netflix ( NFLX), down 1.2%. Top gainers within the sector include CoStar Group ( CSGP), up 10.0%, Royal Caribbean Cruises ( RCL), up 7.4%, Tractor Supply ( TSCO), up 7.0%, Westinghouse Air Brake Technologies ( WAB), up 4.5% and O'Reilly Automotive ( ORLY), up 3.6%.

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

3. McGraw Hill Financial ( MHFI) is one of the companies pushing the Services sector lower today. As of noon trading, McGraw Hill Financial is down $1.56 (-1.9%) to $81.56 on heavy volume. Thus far, 1.2 million shares of McGraw Hill Financial exchanged hands as compared to its average daily volume of 1.2 million shares. The stock has ranged in price between $79.56-$83.00 after having opened the day at $82.99 as compared to the previous trading day's close of $83.11.

McGraw Hill Financial, Inc., a financial intelligence company, provides credit ratings, benchmarks, and analytics to capital and commodity markets worldwide. McGraw Hill Financial has a market cap of $22.5 billion and is part of the diversified services industry. Shares are up 6.3% year-to-date as of the close of trading on Wednesday. Currently there are 7 analysts that rate McGraw Hill Financial a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates McGraw Hill Financial as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, notable return on equity and reasonable valuation levels. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full McGraw Hill Financial 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, Starwood Hotels & Resorts Worldwide ( HOT) is down $3.59 (-4.3%) to $80.15 on heavy volume. Thus far, 3.6 million shares of Starwood Hotels & Resorts Worldwide exchanged hands as compared to its average daily volume of 1.8 million shares. The stock has ranged in price between $79.93-$82.76 after having opened the day at $82.20 as compared to the previous trading day's close of $83.74.

Starwood Hotels & Resorts Worldwide, Inc. operates as a hotel and leisure company worldwide. The company owns, operates, and franchises luxury and upscale full-service hotels, resorts, residences, retreats, select-service hotels, and extended stay hotels under the St. Starwood Hotels & Resorts Worldwide has a market cap of $15.9 billion and is part of the leisure industry. Shares are up 5.4% year-to-date as of the close of trading on Wednesday. Currently there are 16 analysts that rate Starwood Hotels & Resorts Worldwide a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Starwood Hotels & Resorts Worldwide as a buy. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, solid stock price performance, largely solid financial position with reasonable debt levels by most measures 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 Starwood Hotels & Resorts Worldwide 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, Wal-Mart Stores ( WMT) is down $0.69 (-0.9%) to $76.30 on average volume. Thus far, 3.1 million shares of Wal-Mart Stores exchanged hands as compared to its average daily volume of 5.8 million shares. The stock has ranged in price between $76.19-$76.79 after having opened the day at $76.68 as compared to the previous trading day's close of $76.99.

Wal-Mart Stores Inc. operates retail stores in various formats worldwide. The company operates through three segments: Walmart U.S., Walmart International, and Sam's Club. Wal-Mart Stores has a market cap of $247.8 billion and is part of the retail industry. Shares are down 2.2% year-to-date as of the close of trading on Wednesday. Currently there are 9 analysts that rate Wal-Mart Stores a buy, 1 analyst rates it a sell, and 9 rate it a hold.

TheStreet Ratings rates Wal-Mart Stores as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, reasonable valuation levels and notable return on equity. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full Wal-Mart Stores 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 services sector could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the services sector could consider ProShares Ultra Short Consumer Sers ( SCC).

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