Herbalife Ltd. (HLF): Today's Featured Drugs Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Herbalife (HLF) pushed the Drugs industry higher today making it today's featured drugs winner. The industry as a whole was unchanged today. By the end of trading, Herbalife rose 40 cents (1.1%) to $36.40 on light volume. Throughout the day, 2.1 million shares of Herbalife exchanged hands as compared to its average daily volume of 9.8 million shares. The stock ranged in a price between $35.82-$36.49 after having opened the day at $35.94 as compared to the previous trading day's close of $36. Other companies within the Drugs industry that increased today were: Prima Biomed (PBMD), up 22.7%, MEI Pharma (MEIP), up 18.3%, Albany Molecular Research (AMRI), up 12.8%, and Pharmacyclics Incorporated (PCYC), up 9.5%.

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Herbalife Ltd., a network marketing company, sells weight management, nutritional supplement, energy, sports and fitness, and personal care products worldwide. Herbalife has a market cap of $3.9 billion and is part of the health care sector. The company has a P/E ratio of 9.3, below the S&P 500 P/E ratio of 17.7. Shares are up 9.6% year to date as of the close of trading on Tuesday. Currently there are seven analysts that rate Herbalife a buy, no analysts rate it a sell, and two rate it a hold.

TheStreet Ratings rates Herbalife as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, 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 has had generally high debt management risk by most measures that we evaluated.

• You can view the full Herbalife Ratings Report.

On the negative front, Peregrine Pharmaceuticals (PPHM), down 19.9%, Atossa Genetics (ATOS), down 11.9%, Corcept Therapeutics (CORT), down 9.8%, and Tianyin Pharmaceutical (TPI), down 8.2%, were all laggards within the drugs industry with Illumina (ILMN) being today's drugs industry laggard.

• Use our drugs section to find industry-relevant news.
• Or find some new ideas from our top rated stocks lists.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the drugs industry could consider SPDR S&P Pharmaceuticals ETF (XPH) while those bearish on the drugs industry could consider ProShares UltraShort Nasdaq Biotech (BIS).

• Find other investment ideas from our top rated ETFs lists.

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For more information on Herbalife Ltd. click any of the following:

• Herbalife Ltd. Stock Price

• Herbalife Ltd. Analyst Ratings

• Herbalife Ltd. Key Stats & Profile

• Herbalife Ltd. Earnings

• Herbalife Ltd. Ratio Comparison

• Herbalife Ltd. Growth Rates

• Herbalife Ltd. Balance Sheet

• Herbalife Ltd. Cash Flow

• Herbalife Ltd. Income Statement