Actavis Inc (ACT): Today's Featured Drugs Laggard

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Actavis ( ACT) pushed the Drugs industry lower today making it today's featured Drugs laggard. The industry as a whole closed the day up 0.8%. By the end of trading, Actavis fell $2.67 (-1.9%) to $137.39 on average volume. Throughout the day, 1,345,616 shares of Actavis exchanged hands as compared to its average daily volume of 1,161,200 shares. The stock ranged in price between $137.14-$140.94 after having opened the day at $139.87 as compared to the previous trading day's close of $140.06. Other companies within the Drugs industry that declined today were: ImmuCell Corporation ( ICCC), down 10.3%, MannKind Corporation ( MNKD), down 7.0%, Clovis Oncology ( CLVS), down 5.8% and Lexicon Pharmaceuticals ( LXRX), down 5.0%.

Actavis, Inc., an integrated specialty pharmaceutical company, engages in developing, manufacturing, marketing, selling, and distributing generic, branded generic, brand, biosimilar, and over-the-counter pharmaceutical products worldwide. Actavis has a market cap of $18.5 billion and is part of the health care sector. Shares are up 62.9% year to date as of the close of trading on Thursday. Currently there are 12 analysts that rate Actavis a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Actavis as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, 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.

On the positive front, GW Pharmaceuticals PLC ADR ( GWPH), up 82.6%, Genvec ( GNVC), up 48.6%, Celsion Corporation ( CLSN), up 15.2% and Inovio Pharmaceuticals ( INO), up 15.2% , were all gainers within the drugs industry with Novartis ( NVS) being today's featured drugs industry leader.

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).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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