Ariad Pharmaceuticals (ARIA): Today's Featured Drugs 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

Ariad Pharmaceuticals ( ARIA) pushed the Drugs industry higher today making it today's featured drugs winner. The industry as a whole closed the day down 0.7%. By the end of trading, Ariad Pharmaceuticals rose $0.90 (5.1%) to $18.43 on heavy volume. Throughout the day, 8,124,218 shares of Ariad Pharmaceuticals exchanged hands as compared to its average daily volume of 3,023,100 shares. The stock ranged in a price between $17.60-$19.64 after having opened the day at $17.63 as compared to the previous trading day's close of $17.53. Other companies within the Drugs industry that increased today were: MannKind Corporation ( MNKD), up 16.2%, AcelRx Pharmaceuticals ( ACRX), up 13.4%, iBio ( IBIO), up 10.8% and Rexahn Pharmaceuticals ( RNN), up 10.8%.
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ARIAD Pharmaceuticals, Inc., an oncology company, focuses on the discovery, development, and commercialization of medicines for cancer patients. Ariad Pharmaceuticals has a market cap of $3.1 billion and is part of the health care sector. Shares are down 13.3% year to date as of the close of trading on Tuesday. Currently there are 13 analysts that rate Ariad Pharmaceuticals a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Ariad Pharmaceuticals as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, weak operating cash flow, feeble growth in its earnings per share and generally disappointing historical performance in the stock itself.

On the negative front, AMAG Pharmaceuticals ( AMAG), down 10.7%, Neptune Technologies & Bioressources ( NEPT), down 9.6%, AVEO Pharmaceuticals ( AVEO), down 8.3% and Omeros Corporation ( OMER), down 8.2% , were all laggards within the drugs industry with Merck ( MRK) being today's drugs industry laggard.

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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