United Therapeutics Corporation (UTHR): Today's Featured Health Care Laggard

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.

United Therapeutics Corporation ( UTHR) pushed the Health Care sector lower today making it today's featured Health Care laggard. The sector as a whole closed the day up 0.7%. By the end of trading, United Therapeutics Corporation fell 64 cents (-1.1%) to $58.27 on average volume. Throughout the day, 875,365 shares of United Therapeutics Corporation exchanged hands as compared to its average daily volume of 640,300 shares. The stock ranged in price between $57.89-$59 after having opened the day at $59 as compared to the previous trading day's close of $58.91. Other companies within the Health Care sector that declined today were: AEterna Zentaris ( AEZS), down 15.7%, Spherix ( SPEX), down 12.1%, Kips Bay Medical ( KIPS), down 11.3%, and Senesco Technologies ( SNT), down 8.5%.
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United Therapeutics Corporation, a biotechnology company, engages in the development and commercialization of therapeutic products for patients with chronic and life-threatening diseases in the United States and internationally. United Therapeutics Corporation has a market cap of $2.93 billion and is part of the drugs industry. The company has a P/E ratio of 11.8, above the average drugs industry P/E ratio of 11.6 and below the S&P 500 P/E ratio of 17.7. Shares are up 19.9% year to date as of the close of trading on Tuesday. Currently there are six analysts that rate United Therapeutics Corporation a buy, no analysts rate it a sell, and six rate it a hold.

TheStreet Ratings rates United Therapeutics Corporation 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, notable return on equity, attractive valuation levels and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the positive front, Sarepta Therapeutics ( SRPT), up 199.7%, Bioline Rx ( BLRX), up 16.9%, Oxygen Biotherapeutics ( OXBT), up 16.4%, and Accelr8 Technology Corporation ( AXK), up 14.9%, were all gainers within the health care sector with Intuitive Surgical ( ISRG) being today's featured health care sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the health care sector could consider Health Care Select Sector SPDR ( XLV) while those bearish on the health care sector could consider ProShares Ultra Short Health Care ( RXD).

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