Medtronic Inc. (MDT): Today's Featured Health Services 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.

Medtronic ( MDT) pushed the Health Services industry higher today making it today's featured health services winner. The industry as a whole closed the day up 0.3%. By the end of trading, Medtronic rose 59 cents (1.4%) to $42.79 on average volume. Throughout the day, 4.5 million shares of Medtronic exchanged hands as compared to its average daily volume of 4.3 million shares. The stock ranged in a price between $42-$43 after having opened the day at $42.15 as compared to the previous trading day's close of $42.20. Other companies within the Health Services industry that increased today were: Graymark Healthcare ( GRMH), up 25%, Spectranetics Corporation ( SPNC), up 8.8%, Covance ( CVD), up 8.3%, and Acadia Healthcare Company ( ACHC), up 7.8%.
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Medtronic, Inc. manufactures and sells device-based medical therapies worldwide. Medtronic has a market cap of $42.85 billion and is part of the health care sector. The company has a P/E ratio of 12.8, below the S&P 500 P/E ratio of 17.7. Shares are up 10.3% year to date as of the close of trading on Monday. Currently there are 11 analysts that rate Medtronic a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates Medtronic as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, growth in earnings per share, increase in net income and notable return on equity. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook.

On the negative front, Kips Bay Medical ( KIPS), down 12.4%, Express Scripts ( ESRX), down 12.3%, Retractable Technologies ( RVP), down 8.7%, and Mindray Medical International ( MR), down 7.7%, were all laggards within the health services industry with Tenet Healthcare ( THC) being today's health services industry laggard.

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

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