3 Health Care Stocks Dragging The Sector Down

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.

One out of the three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading down 53 points (-0.3%) at 16,478 as of Wednesday, Jan. 8, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,242 issues advancing vs. 1,672 declining with 178 unchanged.

The Health Care sector currently sits up 0.9% versus the S&P 500, which is unchanged. A company within the sector that fell today was Humana ( HUM), up 1.4%. Top gainers within the sector include Forest Laboratories ( FRX), up 15.6%, Incyte ( INCY), up 5.8%, Alkermes ( ALKS), up 5.7%, Jazz Pharmaceuticals ( JAZZ), up 5.7% and Endo Health Solutions ( ENDP), up 5.4%.

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

3. Sanofi ( SNY) is one of the companies pushing the Health Care sector lower today. As of noon trading, Sanofi is down $0.76 (-1.5%) to $51.15 on heavy volume. Thus far, 3.5 million shares of Sanofi exchanged hands as compared to its average daily volume of 1.2 million shares. The stock has ranged in price between $50.97-$51.31 after having opened the day at $51.28 as compared to the previous trading day's close of $51.91.

Sanofi researches, develops, manufactures, and markets healthcare products worldwide. The company operates through Pharmaceuticals, Human Vaccines, and Animal Health segments. Sanofi has a market cap of $138.5 billion and is part of the drugs industry. The company has a P/E ratio of 27.9, above the S&P 500 P/E ratio of 17.7. Shares are down 3.2% year to date as of the close of trading on Tuesday. Currently there are 2 analysts that rate Sanofi a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Sanofi as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Sanofi 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, Eli Lilly and Company ( LLY) is down $0.59 (-1.1%) to $50.60 on average volume. Thus far, 2.7 million shares of Eli Lilly and Company exchanged hands as compared to its average daily volume of 5.8 million shares. The stock has ranged in price between $50.52-$51.01 after having opened the day at $50.83 as compared to the previous trading day's close of $51.19.

Eli Lilly and Company discovers, develops, manufactures, and sells pharmaceutical products worldwide. Eli Lilly and Company has a market cap of $58.1 billion and is part of the drugs industry. The company has a P/E ratio of 11.8, below the S&P 500 P/E ratio of 17.7. Shares are up 0.4% year to date as of the close of trading on Tuesday. Currently there are 5 analysts that rate Eli Lilly and Company a buy, 2 analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Eli Lilly and Company as a buy. 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, notable return on equity, attractive valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Eli Lilly and Company 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, UnitedHealth Group ( UNH) is down $0.51 (-0.7%) to $76.00 on average volume. Thus far, 2.0 million shares of UnitedHealth Group exchanged hands as compared to its average daily volume of 5.0 million shares. The stock has ranged in price between $75.82-$76.46 after having opened the day at $76.33 as compared to the previous trading day's close of $76.51.

UnitedHealth Group Incorporated operates as a diversified health and well-being company in the United States. UnitedHealth Group has a market cap of $74.7 billion and is part of the health services industry. The company has a P/E ratio of 14.0, below the S&P 500 P/E ratio of 17.7. Shares are up 1.6% year to date as of the close of trading on Tuesday. Currently there are 13 analysts that rate UnitedHealth Group a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates UnitedHealth Group as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, attractive valuation levels, good cash flow from operations and growth in earnings per share. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full UnitedHealth Group 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 5 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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