3 Stocks Dragging In The Health Care Sector

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.

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 42 points (-0.3%) at 15,847 as of Thursday, Dec. 5, 2013, 11:45 AM ET. The NYSE advances/declines ratio sits at 971 issues advancing vs. 1,916 declining with 131 unchanged.

The Health Care sector currently sits down 0.3% versus the S&P 500, which is down 0.4%. On the negative front, top decliners within the sector include Cigna ( CI), down 1.4%, HCA Holdings ( HCA), down 1.0%, UnitedHealth Group ( UNH), down 0.9%, WellPoint ( WLP), down 0.7% and Biogen Idec ( BIIB), down 0.5%.

TheStreet would like to highlight 3 stocks pushing the sector lower today:

3. Alkermes ( ALKS) is one of the companies pushing the Health Care sector lower today. As of noon trading, Alkermes is down $1.20 (-2.9%) to $39.80 on average volume. Thus far, 373,309 shares of Alkermes exchanged hands as compared to its average daily volume of 841,900 shares. The stock has ranged in price between $39.45-$40.28 after having opened the day at $39.69 as compared to the previous trading day's close of $41.00.

Alkermes Public Limited Company, an integrated biopharmaceutical company, develops medicines that enhance patient outcomes. Alkermes has a market cap of $5.6 billion and is part of the drugs industry. The company has a P/E ratio of 293.7, above the S&P 500 P/E ratio of 17.7. Shares are up 121.4% year to date as of the close of trading on Wednesday. Currently there are 5 analysts that rate Alkermes a buy, 1 analyst rates it a sell, and 2 rate it a hold.

TheStreet Ratings rates Alkermes as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and impressive record of earnings per share growth. However, as a counter to these strengths, we find that we feel that the company's cash flow from its operations has been weak overall. Get the full Alkermes Ratings Report now.

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

2. As of noon trading, Vertex Pharmaceuticals ( VRTX) is down $0.81 (-1.2%) to $66.52 on light volume. Thus far, 464,295 shares of Vertex Pharmaceuticals exchanged hands as compared to its average daily volume of 2.7 million shares. The stock has ranged in price between $66.38-$67.43 after having opened the day at $67.14 as compared to the previous trading day's close of $67.33.

Vertex Pharmaceuticals Incorporated engages in discovering, developing, manufacturing, and commercializing small molecule drugs for patients with serious diseases. Vertex Pharmaceuticals has a market cap of $15.8 billion and is part of the drugs industry. Shares are up 60.7% year to date as of the close of trading on Wednesday. Currently there are 12 analysts that rate Vertex Pharmaceuticals a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Vertex Pharmaceuticals as a sell. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity and weak operating cash flow. Get the full Vertex Pharmaceuticals Ratings Report now.

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

1. As of noon trading, Teva Pharmaceutical Industries ( TEVA) is down $0.23 (-0.6%) to $39.80 on average volume. Thus far, 2.7 million shares of Teva Pharmaceutical Industries exchanged hands as compared to its average daily volume of 5.9 million shares. The stock has ranged in price between $39.71-$40.16 after having opened the day at $40.07 as compared to the previous trading day's close of $40.03.

Teva Pharmaceutical Industries Limited develops, manufactures, markets, and distributes pharmaceutical products worldwide. Teva Pharmaceutical Industries has a market cap of $34.0 billion and is part of the drugs industry. The company has a P/E ratio of 17.9, above the S&P 500 P/E ratio of 17.7. Shares are up 7.2% year to date as of the close of trading on Wednesday. Currently there are 5 analysts that rate Teva Pharmaceutical Industries a buy, 3 analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates Teva Pharmaceutical Industries as a hold. The company's strengths can be seen in multiple areas, such as its increase in net income, revenue growth and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, weak operating cash flow and relatively poor performance when compared with the S&P 500 during the past year. Get the full Teva Pharmaceutical Industries Ratings Report now.

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

If you are interested in one of these 3 stocks, 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).

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