3 Stocks Driving The Services Sector Higher

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.

One out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading up 40 points (0.2%) at 17,108 as of Wednesday, Sept. 3, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,478 issues advancing vs. 1,497 declining with 182 unchanged.

The Services sector currently sits down 0.2% versus the S&P 500, which is up 0.1%. Top gainers within the sector include Canadian National Railway ( CNI), up 1.7%, CarMax ( KMX), up 1.6%, Royal Caribbean Cruises ( RCL), up 1.4%, Luxottica Group SpA ( LUX), up 1.3% and Shaw Communications ( SJR), up 1.3%. On the negative front, top decliners within the sector include HMS Holdings ( HMSY), down 7.2%, Delta Air Lines ( DAL), down 5.1%, AerCap Holdings ( AER), down 3.6%, Zillow ( Z), down 2.6% and United Continental Holdings ( UAL), down 2.1%.

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

3. Wal-Mart Stores ( WMT) is one of the companies pushing the Services sector higher today. As of noon trading, Wal-Mart Stores is up $0.38 (0.5%) to $76.12 on light volume. Thus far, 2.0 million shares of Wal-Mart Stores exchanged hands as compared to its average daily volume of 5.6 million shares. The stock has ranged in price between $75.94-$76.33 after having opened the day at $76.00 as compared to the previous trading day's close of $75.75.

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

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 $243.4 billion and is part of the retail industry. Shares are down 3.7% year-to-date as of the close of trading on Tuesday. Currently there are 8 analysts who 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, increase in net income, reasonable valuation levels, 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 generally high debt management risk by most measures that we evaluated. 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.

2. As of noon trading, Walgreen ( WAG) is up $0.37 (0.6%) to $60.38 on light volume. Thus far, 2.8 million shares of Walgreen exchanged hands as compared to its average daily volume of 8.5 million shares. The stock has ranged in price between $59.82-$60.41 after having opened the day at $59.91 as compared to the previous trading day's close of $60.01.

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

Walgreen Co., together with its subsidiaries, operates a network of drugstores in the United States. It provides consumer goods and services, pharmacy, and health and wellness services through drugstores, as well as through mail, and by telephone and online. Walgreen has a market cap of $57.9 billion and is part of the retail industry. Shares are up 4.5% year-to-date as of the close of trading on Tuesday. Currently there are 13 analysts who rate Walgreen a buy, 1 analyst rates it a sell, and 7 rate it a hold.

TheStreet Ratings rates Walgreen as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, compelling growth in net income, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Walgreen 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, Netflix ( NFLX) is up $4.14 (0.9%) to $480.74 on average volume. Thus far, 1.7 million shares of Netflix exchanged hands as compared to its average daily volume of 2.4 million shares. The stock has ranged in price between $478.45-$487.60 after having opened the day at $480.52 as compared to the previous trading day's close of $476.60.

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

Netflix, Inc. operates as an Internet television network, is engaged in the Internet delivery of TV shows and movies directly on TVs, computers, and mobile devices in the United States and internationally. Netflix has a market cap of $28.7 billion and is part of the media industry. Shares are up 29.4% year-to-date as of the close of trading on Tuesday. Currently there are 15 analysts who rate Netflix a buy, 4 analysts rate it a sell, and 9 rate it a hold.

TheStreet Ratings rates Netflix as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and expanding profit margins. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook. Get the full Netflix 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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