Skip to main content

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 Drugs industry as a whole closed the day down 1.6% versus the S&P 500, which was down 1.1%. Laggards within the Drugs industry included

China Pharma

(

CPHI

), down 1.7%,

Oragenics

(

OGEN

), down 1.9%,

ImmuCell

(

ICCC

), down 4.1%,

Prima Biomed

(

TheStreet Recommends

PBMD

), down 5.3% and

ProPhase Labs

(

PRPH

), down 3.9%.

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

Novo Nordisk A/S

(

NVO

) is one of the companies that pushed the Drugs industry lower today. Novo Nordisk A/S was down $0.99 (2.2%) to $43.62 on average volume. Throughout the day, 961,664 shares of Novo Nordisk A/S exchanged hands as compared to its average daily volume of 1,022,400 shares. The stock ranged in price between $43.58-$44.43 after having opened the day at $44.38 as compared to the previous trading day's close of $44.61.

Novo Nordisk A/S engages in the discovery, development, manufacture, and marketing of pharmaceutical products primarily in Denmark. It operates in two segments, Diabetes Care and Biopharmaceuticals. Novo Nordisk A/S has a market cap of $127.2 billion and is part of the health care sector. Shares are up 20.7% year-to-date as of the close of trading on Thursday. Currently there are 2 analysts who rate Novo Nordisk A/S 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

Novo Nordisk A/S

as a

buy

. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, growth in earnings per share, increase in net income and notable return on equity. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results.

Highlights from TheStreet Ratings analysis on NVO go as follows:

  • NVO's revenue growth has slightly outpaced the industry average of 4.8%. Since the same quarter one year prior, revenues slightly increased by 4.6%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • Investors have apparently begun to recognize positive factors similar to those we have mentioned in this report, including earnings growth. This has helped drive up the company's shares by a sharp 41.94% over the past year, a rise that has exceeded that of the S&P 500 Index. Regarding the stock's future course, although almost any stock can fall in a broad market decline, NVO should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • NOVO NORDISK A/S has improved earnings per share by 11.4% 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. During the past fiscal year, NOVO NORDISK A/S increased its bottom line by earning $1.73 versus $1.37 in the prior year. This year, the market expects an improvement in earnings ($1.74 versus $1.73).
  • The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and greatly outperformed compared to the Pharmaceuticals industry average. The net income increased by 7.5% when compared to the same quarter one year prior, going from $1,189.81 million to $1,278.47 million.
  • The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Pharmaceuticals industry and the overall market, NOVO NORDISK A/S's return on equity significantly exceeds that of both the industry average and the S&P 500.

You can view the full analysis from the report here:

Novo Nordisk A/S 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.

At the close,

Oragenics

(

OGEN

) was down $0.02 (1.9%) to $1.01 on heavy volume. Throughout the day, 42,488 shares of Oragenics exchanged hands as compared to its average daily volume of 16,900 shares. The stock ranged in price between $1.00-$1.03 after having opened the day at $1.03 as compared to the previous trading day's close of $1.03.

Oragenics, Inc. focuses on the discovery, development, and commercialization of various technologies associated with oral health, antibiotics, and other general health benefits. Oragenics has a market cap of $42.3 million and is part of the health care sector. Shares are down 58.4% year-to-date as of the close of trading on Thursday. Currently there is 1 analyst who rates Oragenics a buy, no analysts rate it a sell, and none rate 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

Oragenics

as a

sell

. Among the areas we feel are negative, one of the most important has been a generally disappointing historical performance in the stock itself.

Highlights from TheStreet Ratings analysis on OGEN go as follows:

  • OGEN's stock share price has done very poorly compared to where it was a year ago: Despite any rallies, the net result is that it is down by 60.79%, which is also worse that the performance of the S&P 500 Index. Investors have so far failed to pay much attention to the earnings improvements the company has managed to achieve over the last quarter. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.
  • The company, on the basis of net income growth from the same quarter one year ago, has significantly underperformed compared to the Biotechnology industry average, but is greater than that of the S&P 500. The net income increased by 8.6% when compared to the same quarter one year prior, going from -$2.07 million to -$1.90 million.
  • 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 Biotechnology industry and the overall market, ORAGENICS INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • Net operating cash flow has increased to -$1.70 million or 15.15% when compared to the same quarter last year. Despite an increase in cash flow of 15.15%, ORAGENICS INC is still growing at a significantly lower rate than the industry average of 102.27%.
  • The gross profit margin for ORAGENICS INC is rather high; currently it is at 61.06%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of -625.41% is in-line with the industry average.

You can view the full analysis from the report here:

Oragenics 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.

China Pharma

(

CPHI

) was another company that pushed the Drugs industry lower today. China Pharma was down $0.00 (1.7%) to $0.24 on light volume. Throughout the day, 10,461 shares of China Pharma exchanged hands as compared to its average daily volume of 52,500 shares. The stock ranged in price between $0.24-$0.25 after having opened the day at $0.24 as compared to the previous trading day's close of $0.24.

China Pharma Holdings, Inc. develops, manufactures, and markets generic and branded pharmaceutical, and biochemical products to hospitals and private retailers in the People's Republic of China. China Pharma has a market cap of $10.0 million and is part of the health care sector. Shares are down 30.7% year-to-date as of the close of trading on Thursday.

TheStreet Ratings rates

China Pharma

as a

sell

. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, weak operating cash flow and generally disappointing historical performance in the stock itself.

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 CPHI go as follows:

  • CHINA PHARMA HOLDINGS INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. During the past fiscal year, CHINA PHARMA HOLDINGS INC swung to a loss, reporting -$0.45 versus $0.10 in the prior year.
  • The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Pharmaceuticals industry. The net income has significantly decreased by 93.6% when compared to the same quarter one year ago, falling from -$4.46 million to -$8.64 million.
  • Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Pharmaceuticals industry and the overall market, CHINA PHARMA HOLDINGS INC's return on equity significantly trails that of both the industry average and the S&P 500.
  • Net operating cash flow has significantly decreased to -$0.08 million or 103.94% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
  • The share price of CHINA PHARMA HOLDINGS INC has not done very well: it is down 17.25% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. The fact that the stock is now selling for less than others in its industry in relation to its current earnings is not reason enough to justify a buy rating at this time.

You can view the full analysis from the report here:

China Pharma 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.