3 Stocks Pushing The Utilities Sector Lower

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.

The Utilities sector as a whole closed the day down 0.4% versus the S&P 500, which was unchanged. Laggards within the Utilities sector included U S Geothermal ( HTM), down 1.6%, Ormat Technologies ( ORA), down 3.0%, Just Energy Group ( JE), down 2.2%, El Paso Electric ( EE), down 2.3% and NorthWestern ( NWE), down 1.8%.

TheStreet Ratings Group would like to highlight 3 stocks that pushed the sector lower today:

Just Energy Group ( JE) is one of the companies that pushed the Utilities sector lower today. Just Energy Group was down $0.12 (2.2%) to $5.27 on light volume. Throughout the day, 249,499 shares of Just Energy Group exchanged hands as compared to its average daily volume of 670,600 shares. The stock ranged in price between $5.21-$5.37 after having opened the day at $5.34 as compared to the previous trading day's close of $5.39.

Just Energy Group has a market cap of $764.8 million and is part of the utilities industry. Shares are down 25.7% year-to-date as of the close of trading on Tuesday. Currently there are no analysts who rate Just Energy Group a buy, 1 analyst rates it a sell, and 1 rates it a hold.

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At the close, Ormat Technologies ( ORA) was down $0.78 (3.0%) to $24.96 on heavy volume. Throughout the day, 231,125 shares of Ormat Technologies exchanged hands as compared to its average daily volume of 64,600 shares. The stock ranged in price between $24.15-$25.01 after having opened the day at $25.01 as compared to the previous trading day's close of $25.74.

Ormat Technologies, Inc. is engaged in the geothermal and recovered energy power business worldwide. The company operates in two segments, Electricity and Product. Ormat Technologies has a market cap of $1.2 billion and is part of the utilities industry. Shares are down 5.4% year-to-date as of the close of trading on Tuesday. Currently there are no analysts who rate Ormat Technologies a buy, 1 analyst rates it a sell, and 1 rates it a hold.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreet Ratings rates Ormat Technologies as a hold. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, impressive record of earnings per share growth and revenue growth. However, as a counter to these strengths, we find that the growth in the company's net income has been quite unimpressive.

Highlights from TheStreet Ratings analysis on ORA go as follows:

  • Compared to where it was a year ago today, the stock is now trading at a higher level, reflecting both the market's overall trend during that period and the fact that the company's earnings growth has been robust. Despite the fact that it has already risen in the past year, there is currently no conclusive evidence that warrants the purchase or sale of this stock.
  • ORMAT TECHNOLOGIES INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. This trend suggests that the performance of the business is improving. During the past fiscal year, ORMAT TECHNOLOGIES INC turned its bottom line around by earning $0.80 versus -$4.76 in the prior year. This year, the market expects an improvement in earnings ($1.30 versus $0.80).
  • The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Independent Power Producers & Energy Traders industry and the overall market on the basis of return on equity, ORMAT TECHNOLOGIES INC has outperformed in comparison with the industry average, but has underperformed when compared to that of the S&P 500.
  • Even though the current debt-to-equity ratio is 1.38, it is still below the industry average, suggesting that this level of debt is acceptable within the Independent Power Producers & Energy Traders industry. Regardless of the somewhat mixed results with the debt-to-equity ratio, the company's quick ratio of 0.98 is weak.
  • The company, on the basis of net income growth from the same quarter one year ago, has significantly underperformed compared to the Independent Power Producers & Energy Traders industry average, but is greater than that of the S&P 500. The net income increased by 528.1% when compared to the same quarter one year prior, rising from -$5.03 million to $21.55 million.

You can view the full analysis from the report here: Ormat Technologies Ratings Report

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

U S Geothermal ( HTM) was another company that pushed the Utilities sector lower today. U S Geothermal was down $0.01 (1.6%) to $0.63 on light volume. Throughout the day, 198,718 shares of U S Geothermal exchanged hands as compared to its average daily volume of 544,900 shares. The stock ranged in price between $0.62-$0.64 after having opened the day at $0.63 as compared to the previous trading day's close of $0.64.

U S Geothermal has a market cap of $67.4 million and is part of the utilities industry. Shares are up 71.5% year-to-date as of the close of trading on Tuesday. Currently there are no analysts who rate U S Geothermal a buy, no analysts rate it a sell, and 1 rates it a hold.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Highlights from TheStreet Ratings analysis on HTM go as follows:

You can view the full analysis from the report here: U S Geothermal Ratings Report

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

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