5 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

Two out of the three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading up 14 points (0.1%) at 15,368 as of Monday, May 20, 2013, 12:50 PM ET. The NYSE advances/declines ratio sits at 1,885 issues advancing vs. 1,048 declining with 118 unchanged.

The Drugs industry currently sits down 0.15 versus the S&P 500, which is up 0.1%. On the negative front, top decliners within the industry include Pharmacyclics Incorporated ( PCYC), down 4.30, Amgen ( AMGN), down 3.34, Allergan ( AGN), down 1.51, Valeant Pharmaceuticals International ( VRX), down 1.39 and Celgene Corporation ( CELG), down 1.27. A company within the industry that increased today was Actavis ( ACT), up 2.39.

TheStreet Ratings group would like to highlight 5 stocks pushing the industry lower today:

5. Sanofi ( SNY) is one of the companies pushing the Drugs industry lower today. As of noon trading, Sanofi is down $0.32 (-0.6%) to $54.18 on light volume Thus far, 303,421 shares of Sanofi exchanged hands as compared to its average daily volume of 2.6 million shares. The stock has ranged in price between $54.00-$54.40 after having opened the day at $54.14 as compared to the previous trading day's close of $54.50.

Sanofi researches, develops, manufactures, and markets healthcare products worldwide. The company operates through Pharmaceuticals, Human Vaccines, and Animal Health segments. Sanofi has a market cap of $145.4 billion and is part of the health care sector. The company has a P/E ratio of 29.1, above the S&P 500 P/E ratio of 17.7. Shares are up 15.0% year to date as of the close of trading on Friday.

TheStreet Ratings rates Sanofi 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, 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. Get the full Sanofi Ratings Report now.

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4. As of noon trading, Alexion Pharmaceuticals ( ALXN) is down $2.71 (-2.6%) to $100.19 on light volume Thus far, 425,367 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 $100.16-$103.53 after having opened the day at $102.79 as compared to the previous trading day's close of $102.90.

Alexion Pharmaceuticals, Inc., a biopharmaceutical company, engages in the development and commercialization of life-transforming therapeutic products. Alexion Pharmaceuticals has a market cap of $19.9 billion and is part of the health care sector. The company has a P/E ratio of 69.7, 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 Friday.

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 shows weak operating cash flow. Get the full Alexion Pharmaceuticals Ratings Report now.

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3. As of noon trading, Vertex Pharmaceuticals ( VRTX) is down $1.78 (-2.2%) to $77.71 on average volume Thus far, 1.0 million 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 $77.70-$79.58 after having opened the day at $79.03 as compared to the previous trading day's close of $79.49.

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 $17.2 billion and is part of the health care sector. Shares are up 85.9% year to date as of the close of trading on Friday.

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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2. As of noon trading, Regeneron Pharmaceuticals ( REGN) is down $2.98 (-1.1%) to $263.99 on light volume Thus far, 302,893 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 $263.67-$269.78 after having opened the day at $265.79 as compared to the previous trading day's close of $266.97.

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 $25.4 billion and is part of the health care sector. The company has a P/E ratio of 35.1, above the S&P 500 P/E ratio of 17.7. Shares are up 54.7% year to date as of the close of trading on Friday.

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, solid stock price performance and compelling growth in net income. 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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1. As of noon trading, Gilead ( GILD) is down $0.62 (-1.1%) to $55.68 on average volume Thus far, 4.6 million shares of Gilead exchanged hands as compared to its average daily volume of 11.8 million shares. The stock has ranged in price between $55.68-$56.78 after having opened the day at $56.09 as compared to the previous trading day's close of $56.30.

Gilead Sciences, Inc., a biopharmaceutical company, discovers, develops, and commercializes human therapeutics for the treatment of life threatening diseases in North America, Europe, and Asia. Gilead has a market cap of $83.8 billion and is part of the health care sector. The company has a P/E ratio of 30.7, above the S&P 500 P/E ratio of 17.7. Shares are up 49.7% year to date as of the close of trading on Friday.

TheStreet Ratings rates Gilead as a buy. The company's strengths can be seen in multiple areas, such as its increase in net income, revenue growth, solid stock price performance, good cash flow from operations and expanding profit margins. 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 Gilead 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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