Pfizer Inc (PFE): 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

Pfizer ( PFE) pushed the Drugs industry higher today making it today's featured drugs winner. The industry as a whole closed the day up 0.6%. By the end of trading, Pfizer rose $0.65 (2.3%) to $29.08 on heavy volume. Throughout the day, 65,019,022 shares of Pfizer exchanged hands as compared to its average daily volume of 40,644,100 shares. The stock ranged in a price between $28.35-$29.15 after having opened the day at $28.37 as compared to the previous trading day's close of $28.43. Other companies within the Drugs industry that increased today were: Verastem ( VSTM), up 13.9%, Savient Pharmaceuticals ( SVNT), up 12.7%, Delcath Systems ( DCTH), up 10.6% and Rosetta Genomics ( ROSG), up 7.3%.
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Pfizer Inc., a biopharmaceutical company, discovers, develops, manufactures, and sells medicines for people and animals worldwide. Pfizer has a market cap of $200.8 billion and is part of the health care sector. The company has a P/E ratio of 20.2, above the S&P 500 P/E ratio of 17.7. Shares are up 13.4% year to date as of the close of trading on Wednesday. Currently there are 11 analysts that rate Pfizer a buy, 1 analyst rates it a sell, and 1 rates it a hold.

TheStreet Ratings rates Pfizer as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

On the negative front, Dynavax Technologies Corporation ( DVAX), down 13.0%, Rexahn Pharmaceuticals ( RNN), down 12.8%, Echo Therapeutics ( ECTE), down 12.7% and Cornerstone Therapeutics ( CRTX), down 11.4% , were all laggards within the drugs industry with Theravance ( THRX) 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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