BP, PBR And SLB, Pushing Energy Industry 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 28 points (-0.2%) at 17,094 as of Thursday, Aug. 28, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,204 issues advancing vs. 1,745 declining with 194 unchanged.

The Energy industry currently sits up 0.1% versus the S&P 500, which is down 0.1%. On the negative front, top decliners within the industry include Tenaris ( TS), down 1.9%, China Petroleum & Chemical ( SNP), down 1.5%, Halliburton ( HAL), down 1.2%, Statoil ASA ( STO), down 0.7% and Petroleo Brasileiro SA Petrobras ( PBR.A), down 0.6%.

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

3. BP ( BP) is one of the companies pushing the Energy industry lower today. As of noon trading, BP is down $0.46 (-0.9%) to $47.90 on average volume. Thus far, 2.8 million shares of BP exchanged hands as compared to its average daily volume of 3.9 million shares. The stock has ranged in price between $47.88-$48.20 after having opened the day at $48.16 as compared to the previous trading day's close of $48.36.

BP p.l.c. provides fuel for transportation, energy for heat and light, lubricants to engines, and petrochemicals products worldwide. BP has a market cap of $147.5 billion and is part of the basic materials sector. Shares are down 0.5% year-to-date as of the close of trading on Wednesday. Currently there are 6 analysts that rate BP a buy, 1 analyst rates it a sell, and 5 rate it a hold.

TheStreet Ratings rates BP as a buy. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, increase in net income, attractive valuation levels, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full BP 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, Petroleo Brasileiro SA Petrobras ( PBR) is down $0.19 (-1.0%) to $19.02 on average volume. Thus far, 15.4 million shares of Petroleo Brasileiro SA Petrobras exchanged hands as compared to its average daily volume of 20.9 million shares. The stock has ranged in price between $18.93-$19.48 after having opened the day at $19.12 as compared to the previous trading day's close of $19.21.

Petroleo Brasileiro S.A. - Petrobras operates as an integrated oil and gas company in Brazil and internationally. Petroleo Brasileiro SA Petrobras has a market cap of $118.9 billion and is part of the basic materials sector. Shares are up 39.4% year-to-date as of the close of trading on Wednesday. Currently there are 2 analysts that rate Petroleo Brasileiro SA Petrobras a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Petroleo Brasileiro SA Petrobras as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance and attractive valuation levels. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and poor profit margins. Get the full Petroleo Brasileiro SA Petrobras 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, Schlumberger ( SLB) is down $0.66 (-0.6%) to $110.38 on light volume. Thus far, 1.7 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 $110.01-$110.84 after having opened the day at $110.84 as compared to the previous trading day's close of $111.04.

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 $143.9 billion and is part of the basic materials sector. Shares are up 23.2% year-to-date as of the close of trading on Wednesday. Currently there are 21 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, notable return on equity, solid stock price performance and good cash flow from operations. We feel these strengths outweigh the fact that the company has had sub par growth in net income. 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.

If you are interested in one of these 3 stocks, ETFs may be of interest. Investors who are bullish on the energy industry could consider Energy Select Sector SPDR ( XLE) while those bearish on the energy industry could consider Proshares Short Oil & Gas ( DDG).
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