5 Stocks Pushing The Health Care Sector 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 up 15 points (0.1%) at 12,980 as of Tuesday, Dec. 4, 2012, 11:49 AM ET. The NYSE advances/declines ratio sits at 1,319 issues advancing vs. 1,553 declining with 162 unchanged.

The Health Care sector currently sits down 0.3% versus the S&P 500, which is down 0.1%. Top gainers within the sector include Edwards Life ( EW), up 4.5%, Shire ( SHPG), up 2.7%, Valeant Pharmaceuticals International ( VRX), up 1.1%, Abbott Laboratories ( ABT), up 0.8% and GlaxoSmithKline ( GSK), up 0.8%.

TheStreet Ratings group would like to highlight 5 stocks pushing the sector higher today:

5. Teva Pharmaceutical Industries ( TEVA) is one of the companies pushing the Health Care sector higher today. As of noon trading, Teva Pharmaceutical Industries is up $0.70 (1.7%) to $41.25 on average volume Thus far, 2.0 million shares of Teva Pharmaceutical Industries exchanged hands as compared to its average daily volume of 3.1 million shares. The stock has ranged in price between $40.37-$41.32 after having opened the day at $40.37 as compared to the previous trading day's close of $40.55.

Teva Pharmaceutical Industries Limited develops, manufactures, and sells pharmaceutical products worldwide. Teva Pharmaceutical Industries has a market cap of $35.0 billion and is part of the drugs industry. The company has a P/E ratio of 10.9, below the S&P 500 P/E ratio of 17.7. Shares are down 0.0% year to date as of the close of trading on Monday. Currently there are 16 analysts that rate Teva Pharmaceutical Industries a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Teva Pharmaceutical Industries as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and feeble growth in the company's earnings per share. Get the full Teva Pharmaceutical Industries Ratings Report now.

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4. As of noon trading, Celgene Corporation ( CELG) is up $0.60 (0.8%) to $79.26 on light volume Thus far, 828,859 shares of Celgene Corporation exchanged hands as compared to its average daily volume of 2.6 million shares. The stock has ranged in price between $78.82-$79.77 after having opened the day at $78.90 as compared to the previous trading day's close of $78.66.

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 $33.2 billion and is part of the drugs industry. The company has a P/E ratio of 21.8, above the S&P 500 P/E ratio of 17.7. Shares are up 16.4% year to date as of the close of trading on Monday. Currently there are 19 analysts that rate Celgene Corporation a buy, no analysts rate it a sell, and 6 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 revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, reasonable valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Celgene Corporation Ratings Report now.

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3. As of noon trading, Eli Lilly and Company ( LLY) is up $0.40 (0.8%) to $49.32 on light volume Thus far, 2.3 million shares of Eli Lilly and Company exchanged hands as compared to its average daily volume of 8.2 million shares. The stock has ranged in price between $48.85-$49.47 after having opened the day at $48.90 as compared to the previous trading day's close of $48.92.

Eli Lilly and Company discovers, develops, manufactures, and sells pharmaceutical products worldwide. Eli Lilly and Company has a market cap of $56.9 billion and is part of the drugs industry. The company has a P/E ratio of 13.3, below the S&P 500 P/E ratio of 17.7. Shares are up 18.0% year to date as of the close of trading on Monday. Currently there are 5 analysts that rate Eli Lilly and Company a buy, 3 analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Eli Lilly and Company as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, 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 shows weak operating cash flow. Get the full Eli Lilly and Company Ratings Report now.

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2. As of noon trading, Merck ( MRK) is up $0.26 (0.6%) to $44.70 on light volume Thus far, 3.1 million shares of Merck exchanged hands as compared to its average daily volume of 11.1 million shares. The stock has ranged in price between $44.38-$44.78 after having opened the day at $44.38 as compared to the previous trading day's close of $44.44.

Merck & Co., Inc. provides various health solutions through its prescription medicines, vaccines, biologic therapies, animal health, and consumer care products. Merck has a market cap of $134.7 billion and is part of the drugs industry. The company has a P/E ratio of 20.1, above the S&P 500 P/E ratio of 17.7. Shares are up 17.9% year to date as of the close of trading on Monday. Currently there are 10 analysts that rate Merck a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Merck as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels and growth in earnings per share. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Merck Ratings Report now.

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1. As of noon trading, Johnson & Johnson ( JNJ) is up $0.44 (0.6%) to $70.09 on average volume Thus far, 6.5 million shares of Johnson & Johnson exchanged hands as compared to its average daily volume of 11.1 million shares. The stock has ranged in price between $69.45-$70.49 after having opened the day at $69.58 as compared to the previous trading day's close of $69.65.

Johnson & Johnson, together with its subsidiaries, engages in the research and development, manufacture, and sale of various products in the health care field worldwide. Johnson & Johnson has a market cap of $193.2 billion and is part of the drugs industry. The company has a P/E ratio of 22.9, above the S&P 500 P/E ratio of 17.7. Shares are up 6.2% year to date as of the close of trading on Monday. Currently there are 11 analysts that rate Johnson & Johnson a buy, no analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates Johnson & Johnson 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, expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Johnson & Johnson Ratings Report now.

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If you are interested in one of these 5 stocks, 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).

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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