3 Stocks Underperforming Today In The Drugs Industry

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 up today with the Dow Jones Industrial Average ( ^DJI) trading up 79 points (0.5%) at 15,295 as of Wednesday, May 15, 2013, 12:45 PM ET. The NYSE advances/declines ratio sits at 1,703 issues advancing vs. 1,237 declining with 128 unchanged.

The Drugs industry currently is unchanged today versus the S&P 500, which is up 0.6%. Top gainers within the industry include Eli Lilly and Company ( LLY), up 2.0%, Abbott Laboratories ( ABT), up 1.6%, GlaxoSmithKline ( GSK), up 1.5%, Novartis ( NVS), up 1.4% and AstraZeneca ( AZN), up 0.8%.

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

3. Alexion Pharmaceuticals ( ALXN) is one of the companies pushing the Drugs industry lower today. As of noon trading, Alexion Pharmaceuticals is down $2.92 (-2.7%) to $104.94 on light volume Thus far, 573,977 shares of Alexion Pharmaceuticals exchanged hands as compared to its average daily volume of 1.8 million shares. The stock has ranged in price between $104.38-$108.00 after having opened the day at $107.87 as compared to the previous trading day's close of $107.86.

Alexion Pharmaceuticals, Inc., a biopharmaceutical company, engages in the development and commercialization of life-transforming therapeutic products. Alexion Pharmaceuticals has a market cap of $20.5 billion and is part of the health care sector. The company has a P/E ratio of 71.8, above the S&P 500 P/E ratio of 17.7. Shares are up 11.9% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Alexion Pharmaceuticals as a buy. 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, impressive record of earnings per share growth, compelling growth in net income and expanding profit margins. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Get the full Alexion Pharmaceuticals Ratings Report now.

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2. As of noon trading, Vertex Pharmaceuticals ( VRTX) is down $1.44 (-1.8%) to $79.57 on light volume Thus far, 799,084 shares of Vertex Pharmaceuticals exchanged hands as compared to its average daily volume of 2.5 million shares. The stock has ranged in price between $79.13-$81.00 after having opened the day at $80.20 as compared to the previous trading day's close of $81.01.

Vertex Pharmaceuticals Incorporated engages in discovering, developing, manufacturing, and commercializing small molecule drugs for patients with serious diseases. Vertex Pharmaceuticals has a market cap of $17.7 billion and is part of the health care sector. Shares are up 91.3% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Vertex Pharmaceuticals as a sell. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income and disappointing return on equity. Get the full Vertex Pharmaceuticals Ratings Report now.

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1. As of noon trading, Regeneron Pharmaceuticals ( REGN) is down $4.20 (-1.5%) to $278.60 on light volume Thus far, 408,019 shares of Regeneron Pharmaceuticals exchanged hands as compared to its average daily volume of 1.1 million shares. The stock has ranged in price between $275.77-$283.99 after having opened the day at $281.81 as compared to the previous trading day's close of $282.80.

Regeneron Pharmaceuticals, Inc., a biopharmaceutical company, discovers, invents, develops, manufactures, and commercializes medicines for the treatment of serious medical conditions in the United States and internationally. Regeneron Pharmaceuticals has a market cap of $26.9 billion and is part of the health care sector. The company has a P/E ratio of 37.2, above the S&P 500 P/E ratio of 17.7. Shares are up 64.0% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Regeneron Pharmaceuticals as a buy. 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, notable return on equity, expanding profit margins and good cash flow from operations. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook. Get the full Regeneron Pharmaceuticals 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 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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