3 Stocks Dragging 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 78 points (0.5%) at 17,023 as of Friday, Sept. 26, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,765 issues advancing vs. 1,183 declining with 200 unchanged.

The Services sector currently sits up 0.5% versus the S&P 500, which is up 0.3%. On the negative front, top decliners within the sector include Finish Line ( FINL), down 12.4%, JC Penney ( JCP), down 4.7%, Sears Holdings ( SHLD), down 3.9%, Michael Kors Holdings ( KORS), down 2.3% and Costco Wholesale ( COST), down 0.7%. Top gainers within the sector include Las Vegas Sands ( LVS), up 2.9%, Companhia Brasileira De Distribuicao ( CBD), up 2.7%, Spirit Airlines ( SAVE), up 2.7%, Foot Locker ( FL), up 2.6% and Melco Crown Entertainment ( MPEL), up 1.9%.

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

3. AmerisourceBergen ( ABC) is one of the companies pushing the Services sector lower today. As of noon trading, AmerisourceBergen is down $0.54 (-0.7%) to $76.95 on light volume. Thus far, 398,120 shares of AmerisourceBergen exchanged hands as compared to its average daily volume of 1.4 million shares. The stock has ranged in price between $76.86-$77.67 after having opened the day at $77.41 as compared to the previous trading day's close of $77.49.

AmerisourceBergen Corporation sources and distributes pharmaceutical products to healthcare providers, pharmaceutical and biotech manufacturers, and specialty drug patients in the United States and internationally. AmerisourceBergen has a market cap of $17.5 billion and is part of the wholesale industry. Shares are up 10.2% year-to-date as of the close of trading on Thursday. Currently there are 8 analysts that rate AmerisourceBergen a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates AmerisourceBergen as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, good cash flow from operations and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and poor profit margins. Get the full AmerisourceBergen 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, Cardinal Health ( CAH) is down $0.74 (-1.0%) to $75.42 on light volume. Thus far, 494,048 shares of Cardinal Health exchanged hands as compared to its average daily volume of 1.8 million shares. The stock has ranged in price between $75.18-$76.41 after having opened the day at $76.17 as compared to the previous trading day's close of $76.16.

Cardinal Health, Inc., a healthcare services company, provides pharmaceutical and medical products and services in the United States and internationally. The company operates in two segments, Pharmaceutical and Medical. Cardinal Health has a market cap of $26.1 billion and is part of the wholesale industry. Shares are up 14.0% year-to-date as of the close of trading on Thursday. Currently there are 12 analysts that rate Cardinal Health a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Cardinal Health as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, notable return on equity and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Cardinal Health 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, Delta Air Lines ( DAL) is down $0.31 (-0.8%) to $36.35 on average volume. Thus far, 7.3 million shares of Delta Air Lines exchanged hands as compared to its average daily volume of 11.5 million shares. The stock has ranged in price between $36.13-$36.73 after having opened the day at $36.31 as compared to the previous trading day's close of $36.66.

Delta Air Lines, Inc. provides scheduled air transportation for passengers and cargo worldwide. Its route network comprises various gateway airports in Amsterdam, Atlanta, Cincinnati, Detroit, Memphis, Minneapolis-St. Delta Air Lines has a market cap of $31.7 billion and is part of the transportation industry. Shares are up 33.5% year-to-date as of the close of trading on Thursday. Currently there are 11 analysts that rate Delta Air Lines a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Delta Air Lines as a buy. The company's strengths can be seen in multiple areas, such as its notable return on equity, attractive valuation levels, solid stock price performance, revenue growth and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Delta Air Lines 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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