Catamaran Corp (CTRX): Today's Featured Computer Software & Services Winner

Catamaran ( CTRX) pushed the Computer Software & Services industry higher today making it today's featured computer software & services winner. The industry as a whole closed the day down 0.8%. By the end of trading, Catamaran rose 64 cents (0.7%) to $87.15 on average volume. Throughout the day, 1.3 million shares of Catamaran exchanged hands as compared to its average daily volume of 1.1 million shares. The stock ranged in a price between $85.25-$87.35 after having opened the day at $86.47 as compared to the previous trading day's close of $86.51. Other companies within the Computer Software & Services industry that increased today were: NCI ( NCIT), up 16.6%, Intellicheck Mobilisa ( IDN), up 13%, Streamline Health Solutions ( STRM), up 12%, and Onstream Media Corporation ( ONSM), up 11.2%.

Catamaran Corporation provides pharmacy benefit management (PBM) services and healthcare information technology solutions to the healthcare benefits management industry in North America. Catamaran has a market cap of $5.83 billion and is part of the technology sector. The company has a P/E ratio of 53.3, equal to the average computer software & services industry P/E ratio and above the S&P 500 P/E ratio of 17.7. Shares are up 53.2% year to date as of the close of trading on Friday. Currently there are 13 analysts that rate Catamaran a buy, no analysts rate it a sell, and six rate it a hold.

TheStreet Ratings rates Catamaran as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, compelling growth in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.

On the negative front, Chyron Corporation ( CHYR), down 15.1%, Netsol Technologies ( NTWK), down 10.2%, Brightcove ( BCOV), down 8.1%, and Wizzard Software Corporation ( WZE), down 7.6%, were all laggards within the computer software & services industry with Cognizant Technology Solutions Corporation ( CTSH) being today's computer software & services industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the computer software & services industry could consider iShares S&P NA Tech Software Idx ( IGV) while those bearish on the computer software & services industry could consider ProShares Ultra Short Technology ( REW).
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