Express Scripts (ESRX): Today's Featured Health Services Winner

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.

Express Scripts ( ESRX) 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, Express Scripts rose $1.09 (1.6%) to $67.98 on average volume. Throughout the day, 4,528,163 shares of Express Scripts exchanged hands as compared to its average daily volume of 4,942,400 shares. The stock ranged in a price between $66.48-$68.00 after having opened the day at $66.91 as compared to the previous trading day's close of $66.89. Other companies within the Health Services industry that increased today were: BG Medicine ( BGMD), up 16.9%, Utah Medical Products ( UTMD), up 7.3%, Stereotaxis ( STXS), up 6.0% and Biolase ( BIOL), up 5.6%.

Express Scripts Holding Company provides a range of pharmacy benefit management (PBM) services primarily in the United States and Canada. It offers healthcare management and administration services on behalf of its clients. Express Scripts has a market cap of $54.3 billion and is part of the health care sector. The company has a P/E ratio of 29.2, above the S&P 500 P/E ratio of 17.7. Shares are up 24.8% year to date as of the close of trading on Tuesday. Currently there are 13 analysts that rate Express Scripts a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Express Scripts as a buy. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures, increase in stock price during the past year and growth in earnings per share. We feel these strengths outweigh the fact that the company shows low profit margins.

On the negative front, Escalon Medical Corporation ( ESMC), down 13.3%, ImmunoCellular Therapeutics ( IMUC), down 12.0%, BSD Medical Corporation ( BSDM), down 4.1% and ERBA Diagnostics ( ERB), down 3.7%.

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.

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