3 Stocks Pushing The Health Care Sector 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

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 6 points (0.0%) at 14,695 as of Friday, April 26, 2013, 12:50 PM ET. The NYSE advances/declines ratio sits at 953 issues advancing vs. 1,941 declining with 134 unchanged.

The Health Care sector currently sits down 0.38 versus the S&P 500, which is down 0.43. On the negative front, top decliners within the sector include Covidien ( COV), down 6.58, Agilent Technologies ( A), down 4.40, Vertex Pharmaceuticals ( VRTX), down 1.74, WellPoint ( WLP), down 1.64 and Medtronic ( MDT), down 1.36. Top gainers within the sector include Celgene Corporation ( CELG), up 1.5%, Teva Pharmaceutical Industries ( TEVA), up 0.7% and Gilead ( GILD), up 0.7%.

TheStreet Ratings group would like to highlight 3 stocks pushing the sector lower today:

3. PerkinElmer ( PKI) is one of the companies pushing the Health Care sector lower today. As of noon trading, PerkinElmer is down $4.28 (-12.4%) to $30.19 on heavy volume Thus far, 6.9 million shares of PerkinElmer exchanged hands as compared to its average daily volume of 1.0 million shares. The stock has ranged in price between $29.50-$31.11 after having opened the day at $29.62 as compared to the previous trading day's close of $34.47.

PerkinElmer, Inc. provides products, services, and solutions to the diagnostics, research, environmental, industrial, and laboratory services markets worldwide. The company operates in two segments, Human Health and Environmental Health. PerkinElmer has a market cap of $3.8 billion and is part of the health services industry. The company has a P/E ratio of 56.5, above the S&P 500 P/E ratio of 17.7. Shares are up 8.6% year to date as of the close of trading on Thursday.

TheStreet Ratings rates PerkinElmer 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, compelling growth in net income, revenue growth and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full PerkinElmer Ratings Report now.

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2. As of noon trading, Stryker Corporation ( SYK) is down $0.72 (-1.1%) to $64.92 on light volume Thus far, 449,375 shares of Stryker Corporation exchanged hands as compared to its average daily volume of 1.7 million shares. The stock has ranged in price between $64.75-$65.50 after having opened the day at $65.50 as compared to the previous trading day's close of $65.64.

Stryker Corporation, a medical technology company, provides reconstructive, medical and surgical, and neurotechnology and spine products for doctors, hospitals, and other healthcare facilities. Stryker Corporation has a market cap of $24.4 billion and is part of the health services industry. The company has a P/E ratio of 18.9, above the S&P 500 P/E ratio of 17.7. Shares are up 19.7% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Stryker 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, expanding profit margins, solid stock price performance and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Stryker Corporation Ratings Report now.

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1. As of noon trading, Becton Dickinson ( BDX) is down $1.52 (-1.6%) to $94.87 on average volume Thus far, 564,036 shares of Becton Dickinson exchanged hands as compared to its average daily volume of 1.2 million shares. The stock has ranged in price between $94.66-$96.30 after having opened the day at $96.09 as compared to the previous trading day's close of $96.39.

Becton, Dickinson and Company, a medical technology company, develops, manufactures, and sells medical devices, instrument systems, and reagents worldwide. The company's BD Medical segment produces medical devices that are used in various healthcare settings. Becton Dickinson has a market cap of $18.4 billion and is part of the health services industry. The company has a P/E ratio of 17.2, below the S&P 500 P/E ratio of 17.7. Shares are up 23.3% year to date as of the close of trading on Thursday.

TheStreet Ratings rates Becton Dickinson as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, notable return on equity, expanding profit margins and compelling growth in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Becton Dickinson Ratings Report now.

Exclusive Offer: Jim Cramer's 'go-to' small/mid-cap guru Bryan Ashenberg only buys stocks he thinks could return 50-100%. See his top picks for 14-days FREE.

If you are interested in one of these 4 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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