The health services industry closed the day down 2.5%. Escalon Medical Corporation ( ESMC), Tengion Inc ( TNGN), Pressure BioSciences Inc ( PBIO), and Fonar Corporation ( FONR) were all winners today within the health services industry with Skilled Healthcare Group Inc ( SKH) being today's featured health services winner. Skilled Healthcare Group Inc rose 24 cents (6.8%) to $3.77 on average volume. Throughout the day, 650,185 shares of Skilled Healthcare Group Inc exchanged hands as compared to its average daily volume of 787,200 shares. Skilled Healthcare Group, Inc., through its subsidiaries, operates skilled nursing facilities, assisted living facilities, hospices, home health providers, and a rehabilitation therapy business. Skilled Healthcare Group Inc has a market cap of $71.7 million and is part of the health care sector. The company has a P/E ratio of 16.2, equal to the average health services industry P/E ratio and below the S&P 500 P/E ratio of 17.7. Shares are down 60.7% year to date as of the close of trading on Tuesday. TheStreet Ratings rates Skilled Healthcare Group as a hold. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income and revenue growth. However, as a counter to these strengths, we also find weaknesses including generally poor debt management and poor profit margins.
Investors eyeing a purchase of Skilled Healthcare Group Inc stock, but tentative about paying the going market price of $8.89/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the July put at the $7.50 strike, which has a bid at the time of this writing of 40 cents.