Celgene Corporation (CELG): Today's Featured Drugs Winner

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.

Celgene Corporation ( CELG) pushed the Drugs industry higher today making it today's featured drugs winner. The industry as a whole closed the day down 1.2%. By the end of trading, Celgene Corporation rose 88 cents (1.2%) to $75.20 on average volume. Throughout the day, 2.2 million shares of Celgene Corporation exchanged hands as compared to its average daily volume of 2.6 million shares. The stock ranged in a price between $74.14-$75.48 after having opened the day at $74.14 as compared to the previous trading day's close of $74.32. Other companies within the Drugs industry that increased today were: Chelsea Therapeutics International ( CHTP), up 10.1%, Biostar Pharmaceuticals ( BSPM), up 7.9%, Galena Biopharma ( GALE), up 7%, and Osiris Therapeutics ( OSIR), up 7%.
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Celgene Corporation, a biopharmaceutical company, discovers, develops, and commercializes various therapies to treat cancer and immune-inflammatory related diseases primarily in the United States and Europe. Celgene Corporation has a market cap of $31.95 billion and is part of the health care sector. The company has a P/E ratio of 21.6, equal to the average drugs industry P/E ratio and above the S&P 500 P/E ratio of 17.7. Shares are up 9.9% year to date as of the close of trading on Thursday. Currently there are 22 analysts that rate Celgene Corporation a buy, no analysts rate it a sell, and six rate it a hold.

TheStreet Ratings rates Celgene 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, reasonable valuation levels and solid stock price performance. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results.

On the negative front, Columbia Laboratories ( CBRX), down 40.4%, Immunogen ( IMGN), down 16.8%, Savient Pharmaceuticals ( SVNT), down 13.5%, and Discovery Laboratories ( DSCO), down 9.7%, were all laggards within the drugs industry with Eli Lilly and Company ( LLY) being today's drugs industry laggard.

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 ( XPH) while those bearish on the drugs industry could consider ProShares UltraShort Nasdaq Biotech ( BIS).

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