Johnson & Johnson (JNJ): Today's Featured Health Care 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

Johnson & Johnson ( JNJ) pushed the Health Care sector higher today making it today's featured health care winner. The sector as a whole closed the day up 1.0%. By the end of trading, Johnson & Johnson rose $0.93 (1.1%) to $85.16 on average volume. Throughout the day, 8,650,785 shares of Johnson & Johnson exchanged hands as compared to its average daily volume of 9,668,100 shares. The stock ranged in a price between $84.17-$85.21 after having opened the day at $84.44 as compared to the previous trading day's close of $84.23. Other companies within the Health Care sector that increased today were: Staar Surgical ( STAA), up 28.7%, Aoxing Pharmaceutical Company ( AXN), up 13.6%, BioTime ( BTX), up 9.6% and pSivida ( PSDV), up 9.4%.
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Johnson & Johnson, together with its subsidiaries, engages in the research and development, manufacture, and sale of various products in the health care field worldwide. The company operates in three segments: Consumer, Pharmaceutical, and Medical Devices and Diagnostics. Johnson & Johnson has a market cap of $238.4 billion and is part of the drugs industry. The company has a P/E ratio of 21.7, above the S&P 500 P/E ratio of 17.7. Shares are up 20.2% year to date as of the close of trading on Wednesday. Currently there are 11 analysts that rate Johnson & Johnson a buy, no analysts rate it a sell, and 8 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, 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.

On the negative front, AVEO Pharmaceuticals ( AVEO), down 49.6%, Idera Pharmaceuticals ( IDRA), down 22.1%, Galena Biopharma ( GALE), down 13.5% and Symmetry Medical ( SMA), down 11.6%.

For investors not wanting singular stock exposure, 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).

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