5 Stocks Pushing The Drugs Industry Lower

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

One out of the three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading down 17 points (-0.1%) at 12,949 as of Tuesday, Nov. 27, 2012, 11:49 AM ET. The NYSE advances/declines ratio sits at 1,707 issues advancing vs. 1,183 declining with 148 unchanged.

The Drugs industry currently sits up 0.8% versus the S&P 500, which is up 0.0%. On the negative front, top decliners within the industry include Vertex Pharmaceuticals ( VRTX), down 0.9%, and Gilead ( GILD), down 0.5%. A company within the industry that increased today was ACADIA Pharmaceuticals ( ACAD), up 151.7%.

TheStreet Ratings group would like to highlight 5 stocks pushing the industry lower today:

5. Perrigo Company ( PRGO) is one of the companies pushing the Drugs industry lower today. As of noon trading, Perrigo Company is down $0.90 (-0.9%) to $101.68 on light volume Thus far, 117,822 shares of Perrigo Company exchanged hands as compared to its average daily volume of 643,500 shares. The stock has ranged in price between $100.92-$102.51 after having opened the day at $102.45 as compared to the previous trading day's close of $102.58.

Perrigo Company, through its subsidiaries, develops, manufactures, and distributes over-the-counter (OTC) and generic prescription (Rx) pharmaceuticals, infant formulas, nutritional products, and active pharmaceutical ingredients (API) worldwide. Perrigo Company has a market cap of $9.7 billion and is part of the health care sector. The company has a P/E ratio of 22.7, above the S&P 500 P/E ratio of 17.7. Shares are up 5.5% year to date as of the close of trading on Monday. Currently there are 5 analysts that rate Perrigo Company a buy, 1 analyst rates it a sell, and 7 rate it a hold.

TheStreet Ratings rates Perrigo Company 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, reasonable valuation levels, increase in stock price during the past year and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Perrigo Company Ratings Report now.

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4. As of noon trading, Valeant Pharmaceuticals International ( VRX) is down $0.57 (-1.0%) to $55.62 on light volume Thus far, 372,964 shares of Valeant Pharmaceuticals International exchanged hands as compared to its average daily volume of 1.4 million shares. The stock has ranged in price between $55.41-$56.24 after having opened the day at $56.15 as compared to the previous trading day's close of $56.19.

Valeant Pharmaceuticals International, Inc., a specialty pharmaceutical company, develops, manufactures, and markets pharmaceutical products in the areas of neurology, dermatology, and branded generics. Valeant Pharmaceuticals International has a market cap of $16.9 billion and is part of the health care sector. The company has a P/E ratio of 692.4, above the S&P 500 P/E ratio of 17.7. Shares are up 18.6% year to date as of the close of trading on Monday. Currently there are 11 analysts that rate Valeant Pharmaceuticals International a buy, 1 analyst rates it a sell, and 3 rate it a hold.

TheStreet Ratings rates Valeant Pharmaceuticals International as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, expanding profit margins and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and disappointing return on equity. Get the full Valeant Pharmaceuticals International Ratings Report now.

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3. As of noon trading, Sanofi ( SNY) is down $0.16 (-0.4%) to $44.50 on light volume Thus far, 529,435 shares of Sanofi exchanged hands as compared to its average daily volume of 1.8 million shares. The stock has ranged in price between $44.21-$44.53 after having opened the day at $44.38 as compared to the previous trading day's close of $44.66.

Sanofi, together with its subsidiaries, researches, develops, manufactures, and markets healthcare products worldwide. Sanofi has a market cap of $118.6 billion and is part of the health care sector. The company has a P/E ratio of 24.1, above the S&P 500 P/E ratio of 17.7. Shares are up 22.2% year to date as of the close of trading on Monday. Currently there are 8 analysts that rate Sanofi a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Sanofi as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Sanofi Ratings Report now.

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2. As of noon trading, Biogen Idec ( BIIB) is down $0.20 (-0.1%) to $148.91 on light volume Thus far, 253,962 shares of Biogen Idec exchanged hands as compared to its average daily volume of 1.1 million shares. The stock has ranged in price between $147.98-$149.95 after having opened the day at $147.98 as compared to the previous trading day's close of $149.11.

Biogen Idec Inc. discovers, develops, manufactures, and markets therapies for the treatment of neurodegenerative diseases, hemophilia, and autoimmune disorders in the United States and internationally. Biogen Idec has a market cap of $35.5 billion and is part of the health care sector. The company has a P/E ratio of 26.0, above the S&P 500 P/E ratio of 17.7. Shares are up 36.2% year to date as of the close of trading on Monday. Currently there are 12 analysts that rate Biogen Idec a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Biogen Idec 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, reasonable valuation levels and solid stock price performance. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Biogen Idec Ratings Report now.

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1. As of noon trading, Pfizer ( PFE) is down $0.10 (-0.4%) to $24.39 on average volume Thus far, 11.4 million shares of Pfizer exchanged hands as compared to its average daily volume of 28.0 million shares. The stock has ranged in price between $24.22-$24.45 after having opened the day at $24.24 as compared to the previous trading day's close of $24.48.

Pfizer Inc., a biopharmaceutical company, engages in the discovery, development, manufacture, and sale of medicines for people and animals worldwide. Pfizer has a market cap of $180.6 billion and is part of the health care sector. The company has a P/E ratio of 19.0, above the S&P 500 P/E ratio of 17.7. Shares are up 13.4% year to date as of the close of trading on Monday. Currently there are 14 analysts that rate Pfizer a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Pfizer as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share, largely solid financial position with reasonable debt levels by most measures, attractive valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Pfizer Ratings Report now.

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If you are interested in one of these 3 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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