Actavis Inc (ACT): Today's Featured Health Care 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 Health Care sector lower today making it today's featured Health Care laggard. The sector as a whole closed the day down 0.2%. By the end of trading, Actavis fell $2.90 (-2.1%) to $135.50 on heavy volume. Throughout the day, 2,334,133 shares of Actavis exchanged hands as compared to its average daily volume of 1,147,000 shares. The stock ranged in price between $135.50-$139.12 after having opened the day at $138.89 as compared to the previous trading day's close of $138.40. Other companies within the Health Care sector that declined today were: Prosensa Holding N.V ( RNA), down 70.2%, ERBA Diagnostics ( ERB), down 17.9%, Imprimis Pharmaceuticals ( IMMY), down 13.5% and Ohr Pharmaceutical ( OHRP), down 12.9%.

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 $18.3 billion and is part of the drugs industry. Shares are up 61.7% 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, Retractable Technologies ( RVP), up 71.7%, GW Pharmaceuticals PLC ADR ( GWPH), up 69.3%, Verenium Corporation ( VRNM), up 58.2% and Electromed ( ELMD), up 25.5% , were all gainers within the health care sector with Cigna ( CI) being today's featured health care sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the health care sector could consider Health Care Select Sector SPDR ( XLV) while those bearish on the health care sector could consider ProShares Ultra Short Health Care ( RXD).

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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