YUM, MA And EBAY, Pushing 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 down today with the Dow Jones Industrial Average ( ^DJI) trading down 205 points (-1.2%) at 16,675 as of Thursday, July 31, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 243 issues advancing vs. 2,822 declining with 89 unchanged.

The Services sector currently sits down 1.5% versus the S&P 500, which is down 1.5%. On the negative front, top decliners within the sector include On Assignment ( ASGN), down 23.5%, Trinity Industries ( TRN), down 5.2%, Computer ( CSC), down 3.8%, Vipshop Holdings ( VIPS), down 3.7% and Shaw Communications ( SJR), down 3.2%.

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

3. Yum Brands ( YUM) is one of the companies pushing the Services sector lower today. As of noon trading, Yum Brands is down $3.84 (-5.2%) to $69.16 on heavy volume. Thus far, 10.9 million shares of Yum Brands exchanged hands as compared to its average daily volume of 2.6 million shares. The stock has ranged in price between $68.09-$69.48 after having opened the day at $68.69 as compared to the previous trading day's close of $73.00.

YUM! Brands, Inc., together with its subsidiaries, operates quick service restaurants in the United States and internationally. It operates in six segments: YUM Restaurants China, YUM Restaurants International, Taco Bell U.S., KFC U.S., Pizza Hut U.S., and YUM Restaurants India. Yum Brands has a market cap of $32.5 billion and is part of the leisure industry. Shares are down 3.5% year-to-date as of the close of trading on Wednesday. Currently there are 10 analysts that rate Yum Brands a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates Yum Brands as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income, good cash flow from operations, growth in earnings per share and increase in stock price during the past year. 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 Yum Brands 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, MasterCard ( MA) is down $1.12 (-1.5%) to $74.79 on heavy volume. Thus far, 3.6 million shares of MasterCard exchanged hands as compared to its average daily volume of 4.2 million shares. The stock has ranged in price between $74.01-$76.32 after having opened the day at $76.30 as compared to the previous trading day's close of $75.91.

MasterCard Incorporated provides transaction processing and other payment-related services in the United States and internationally. It facilitates the processing of payment transactions, including authorization, clearing, and settlement, as well as delivers related products and services. MasterCard has a market cap of $85.3 billion and is part of the financial services industry. Shares are down 9.1% year-to-date as of the close of trading on Wednesday. Currently there are 16 analysts that rate MasterCard a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates MasterCard 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, impressive record of earnings per share growth, increase in net income and expanding profit margins. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value. Get the full MasterCard 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, eBay ( EBAY) is down $0.40 (-0.8%) to $52.83 on average volume. Thus far, 5.7 million shares of eBay exchanged hands as compared to its average daily volume of 12.4 million shares. The stock has ranged in price between $52.78-$53.06 after having opened the day at $52.94 as compared to the previous trading day's close of $53.23.

eBay Inc. provides online platforms, tools, and services to help individuals and merchants in online and mobile commerce and payments in the United States and internationally. eBay has a market cap of $66.0 billion and is part of the specialty retail industry. Shares are down 3.0% year-to-date as of the close of trading on Wednesday. Currently there are 18 analysts that rate eBay a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates eBay 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, growth in earnings per share, increase in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full eBay 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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