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 Baxter International (
BAX) pushed the Health Services industry higher today making it today's featured health services winner. The industry as a whole closed the day up 1.0%. By the end of trading, Baxter International rose $1.00 (1.4%) to $70.75 on light volume. Throughout the day, 2,588,556 shares of Baxter International exchanged hands as compared to its average daily volume of 3,508,100 shares. The stock ranged in a price between $68.82-$70.92 after having opened the day at $69.51 as compared to the previous trading day's close of $69.75. Other companies within the Health Services industry that increased today were:
USMD Holdings (
USMD), up 17.1%,
IMRIS (
IMRS), up 8.6%,
Baxano Surgical (
BAXS), up 7.6% and
TearLab Corpoartion (
TEAR), up 7.1%.
- EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.
Baxter International Inc., through its subsidiaries, develops, manufactures, and markets products for people with hemophilia, immune disorders, infectious diseases, kidney disease, trauma, and other chronic and acute medical conditions. Baxter International has a market cap of $37.8 billion and is part of the health care sector. The company has a P/E ratio of 16.9, below the S&P 500 P/E ratio of 17.7. Shares are up 4.6% year to date as of the close of trading on Wednesday. Currently there are 14 analysts that rate Baxter International a buy, no analysts rate it a sell, and 5 rate it a hold.
TheStreet Ratings rates
Baxter International as a
buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, expanding profit margins, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income.
On the negative front,
Mela (
MELA), down 9.4%,
Unilife Corporation (
UNIS), down 7.9%,
Electromed (
ELMD), down 7.8% and
Allied Healthcare Products (
AHPI), down 5.9%.
For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the health services industry could consider
Health Care Select Sector SPDR (
XLV) while those bearish on the health services industry could consider
ProShares Ultra Short Health Care (
RXD).
3x UPSIDE POTENTIAL: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
