Pharmacyclics Incorporated (PCYC): Today's Featured Drugs Laggard

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.

Pharmacyclics Incorporated ( PCYC) pushed the Drugs industry lower today making it today's featured Drugs laggard. The industry as a whole closed the day down 0.1%. By the end of trading, Pharmacyclics Incorporated fell $2.27 (-3.4%) to $65.15 on light volume. Throughout the day, 449,190 shares of Pharmacyclics Incorporated exchanged hands as compared to its average daily volume of 738,200 shares. The stock ranged in price between $64.10-$65.95 after having opened the day at $65.45 as compared to the previous trading day's close of $67.42. Other companies within the Drugs industry that declined today were: Telik ( TELK), down 24.5%, Oxygen Biotherapeutics ( OXBT), down 12%, Flamel Technologies ( FLML), down 11.8%, and ImmuCell Corporation ( ICCC), down 11.6%.
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Pharmacyclics, Inc. operates as a clinical-stage biopharmaceutical company focusing on developing and commercializing small-molecule drugs for the treatment of cancer and immune mediated diseases. Pharmacyclics Incorporated has a market cap of $4.7 billion and is part of the health care sector. The company has a P/E ratio of 48.3, above the S&P 500 P/E ratio of 17.7. Shares are up 16.7% year to date as of the close of trading on Friday. Currently there are six analysts that rate Pharmacyclics Incorporated a buy, no analysts rate it a sell, and four rate it a hold.

TheStreet Ratings rates Pharmacyclics Incorporated as a hold. 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 and notable return on equity. However, as a counter to these strengths, we find that the growth in the company's earnings per share has not been good.

On the positive front, Sangamo BioSciences ( SGMO), up 17.5%, Halozyme Therapeutics ( HALO), up 15.7%, ACADIA Pharmaceuticals ( ACAD), up 12%, and Herbalife ( HLF), up 10.1%, were all gainers within the drugs industry with BioMarin Pharmaceuticals ( BMRN) being today's featured drugs industry leader.

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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