Skip to main content

Johnson & Johnson



) pushed the Drugs industry higher today making it today's featured drugs winner. The industry as a whole closed the day up 3.6%. By the end of trading, Johnson & Johnson rose $1.84 (2.9%) to $64.62 on average volume. Throughout the day, 11.9 million shares of Johnson & Johnson exchanged hands as compared to its average daily volume of 11.9 million shares. The stock ranged in a price between $63.80-$64.74 after having opened the day at $63.92 as compared to the previous trading day's close of $62.78. Other companies within the Drugs industry that increased today were:

PROLOR Biotech Inc



), up 21.4%,

Progenics Pharmaceuticals Inc



), up 20.9%,

Amicus Therapeutics Inc



), up 19.2%, and

Sangamo BioSciences Inc



), up 18.4%.

Johnson & Johnson engages in the research and development, manufacture, and sale of various products in the health care field worldwide. The company operates in three segments: Consumer, Pharmaceutical, and Medical Devices and Diagnostics. Johnson & Johnson has a market cap of $170.32 billion and is part of the

health care

sector. The company has a P/E ratio of 15.2, equal to the average drugs industry P/E ratio and below the S&P 500 P/E ratio of 17.7. Shares are up 1.5% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Johnson & Johnson as a


. 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, attractive valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the negative front,

Poniard Pharmaceuticals Inc



), down 14.4%,

Horizon Pharma Inc



), down 12.7%,

Marina Biotech Inc



), down 9.1%, and

AspenBio Pharma Inc



), down 8.1%, were all losers within the drugs industry with

Pharmasset Inc



) being today's drugs industry loser.

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



) while those bearish on the drugs industry could consider

ProShares UltraShort Nasdaq Biotech