4 Stocks Pushing The Drugs Industry Higher

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

Two out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading down 10 points (-0.1%) at 13,082 as of Monday, Nov. 5, 2012, 1:34 PM ET. The NYSE advances/declines ratio sits at 1,351 issues advancing vs. 1,574 declining with 129 unchanged.

The Drugs industry currently sits up 1.1% versus the S&P 500, which is down 0.1%. A company within the industry that fell today was Pharmacyclics Incorporated ( PCYC), up 10.8%.

TheStreet Ratings group would like to highlight 4 stocks pushing the industry higher today:

4. Novo Nordisk A/S ( NVO) is one of the companies pushing the Drugs industry higher today. As of noon trading, Novo Nordisk A/S is up $1.01 (0.6%) to $159.32 on average volume Thus far, 279,823 shares of Novo Nordisk A/S exchanged hands as compared to its average daily volume of 320,900 shares. The stock has ranged in price between $157.11-$159.90 after having opened the day at $157.12 as compared to the previous trading day's close of $158.31.

Novo Nordisk A/S, a healthcare company, engages in the discovery, development, manufacture, and marketing of pharmaceutical products in Denmark and internationally. The company operates in two segments, Diabetes Care and Biopharmaceuticals. Novo Nordisk A/S has a market cap of $91.7 billion and is part of the health care sector. The company has a P/E ratio of 4.0, below the S&P 500 P/E ratio of 17.7. Shares are up 37.2% year to date as of the close of trading on Friday. Currently there are 2 analysts that rate Novo Nordisk A/S a buy, 1 analyst rates it a sell, and 2 rate it a hold.

TheStreet Ratings rates Novo Nordisk A/S as a buy. 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, notable return on equity, expanding profit margins 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. Get the full Novo Nordisk A/S Ratings Report now.

3. As of noon trading, BioMarin Pharmaceuticals ( BMRN) is up $11.10 (29.7%) to $48.51 on heavy volume Thus far, 10.0 million shares of BioMarin Pharmaceuticals exchanged hands as compared to its average daily volume of 1.4 million shares. The stock has ranged in price between $45.99-$49.52 after having opened the day at $46.00 as compared to the previous trading day's close of $37.41.

BioMarin Pharmaceutical Inc. develops and commercializes biopharmaceuticals for serious diseases and medical conditions in the United States, Europe, Latin America, and rest of the world. BioMarin Pharmaceuticals has a market cap of $4.6 billion and is part of the health care sector. The company has a P/E ratio of -48.4, below the S&P 500 P/E ratio of 17.7. Shares are up 7.0% year to date as of the close of trading on Friday. Currently there are 13 analysts that rate BioMarin Pharmaceuticals a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates BioMarin Pharmaceuticals as a hold. 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 and increase in net income. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity and feeble growth in the company's earnings per share. Get the full BioMarin Pharmaceuticals Ratings Report now.

2. As of noon trading, GlaxoSmithKline ( GSK) is up $0.48 (1.1%) to $44.16 on average volume Thus far, 1.5 million shares of GlaxoSmithKline exchanged hands as compared to its average daily volume of 1.9 million shares. The stock has ranged in price between $44.15-$44.41 after having opened the day at $44.39 as compared to the previous trading day's close of $43.68.

GlaxoSmithKline plc, together with its subsidiaries, engages in the discovery, development, manufacture, and marketing of pharmaceutical products, over the counter (OTC) medicines, and health-related consumer products worldwide. GlaxoSmithKline has a market cap of $113.3 billion and is part of the health care sector. The company has a P/E ratio of 13.5, below the S&P 500 P/E ratio of 17.7. Shares are down 1.7% year to date as of the close of trading on Friday. Currently there are 2 analysts that rate GlaxoSmithKline a buy, 1 analyst rates it a sell, and 7 rate it a hold.

TheStreet Ratings rates GlaxoSmithKline as a buy. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, increase in net income, notable return on equity, good cash flow from operations and expanding profit margins. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full GlaxoSmithKline Ratings Report now.

1. As of noon trading, Alexion Pharmaceuticals ( ALXN) is up $1.40 (1.6%) to $90.50 on light volume Thus far, 763,674 shares of Alexion Pharmaceuticals exchanged hands as compared to its average daily volume of 1.1 million shares. The stock has ranged in price between $88.70-$91.84 after having opened the day at $89.00 as compared to the previous trading day's close of $89.09.

Alexion Pharmaceuticals, Inc., a biopharmaceutical company, engages in the discovery, development, and commercialization of biologic therapeutic products in the United States, Europe, Latin America, Japan, and the Asia Pacific. Alexion Pharmaceuticals has a market cap of $18.0 billion and is part of the health care sector. The company has a P/E ratio of 81.8, above the S&P 500 P/E ratio of 17.7. Shares are up 29.2% year to date as of the close of trading on Friday. Currently there are 15 analysts that rate Alexion Pharmaceuticals a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Alexion Pharmaceuticals 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, expanding profit margins, good cash flow from operations and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Alexion Pharmaceuticals Ratings Report now.

If you are interested in one of these 4 stocks, 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).

A reminder about TheStreet Ratings group: 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.
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