3 Drugs Stocks Dragging The Industry 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.

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 54 points (-0.3%) at 16,409 as of Thursday, Jan. 9, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,224 issues advancing vs. 1,713 declining with 144 unchanged.

The Drugs industry currently sits up 1.8% versus the S&P 500, which is down 0.2%. A company within the industry that fell today was Sanofi ( SNY), up 0.8%. Top gainers within the industry include Grifols ( GRFS), up 3.7%, Bristol-Myers Squibb Company ( BMY), up 2.1%, Gilead ( GILD), up 1.4% and Eli Lilly and Company ( LLY), up 0.8%.

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

3. Regeneron Pharmaceuticals ( REGN) is one of the companies pushing the Drugs industry lower today. As of noon trading, Regeneron Pharmaceuticals is down $5.49 (-2.0%) to $268.01 on average volume. Thus far, 313,176 shares of Regeneron Pharmaceuticals exchanged hands as compared to its average daily volume of 733,200 shares. The stock has ranged in price between $267.04-$275.64 after having opened the day at $275.64 as compared to the previous trading day's close of $273.50.

Regeneron Pharmaceuticals, Inc., a biopharmaceutical company, discovers, invents, develops, manufactures, and commercializes medicines for the treatment of serious medical conditions in the United States and internationally. Regeneron Pharmaceuticals has a market cap of $26.7 billion and is part of the health care sector. The company has a P/E ratio of 38.3, above the S&P 500 P/E ratio of 17.7. Shares are down 0.6% year to date as of the close of trading on Wednesday. Currently there are 10 analysts that rate Regeneron Pharmaceuticals a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Regeneron Pharmaceuticals as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and notable return on equity. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income and feeble growth in the company's earnings per share. Get the full Regeneron Pharmaceuticals Ratings Report now.

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2. As of noon trading, Merck ( MRK) is down $0.32 (-0.6%) to $49.47 on light volume. Thus far, 3.6 million shares of Merck exchanged hands as compared to its average daily volume of 12.3 million shares. The stock has ranged in price between $49.34-$50.00 after having opened the day at $49.82 as compared to the previous trading day's close of $49.79.

Merck & Co., Inc. provides various health solutions through its prescription medicines, vaccines, biologic therapies, animal health, and consumer care products worldwide. Merck has a market cap of $146.4 billion and is part of the health care sector. The company has a P/E ratio of 33.6, above the S&P 500 P/E ratio of 17.7. Shares are down 0.5% year to date as of the close of trading on Wednesday. Currently there are 5 analysts that rate Merck a buy, 1 analyst rates it a sell, and 8 rate it a hold.

TheStreet Ratings rates Merck as a buy. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, good cash flow from operations, 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 Merck 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, Pfizer ( PFE) is down $0.24 (-0.8%) to $30.70 on light volume. Thus far, 7.9 million shares of Pfizer exchanged hands as compared to its average daily volume of 25.1 million shares. The stock has ranged in price between $30.60-$31.12 after having opened the day at $31.08 as compared to the previous trading day's close of $30.95.

Pfizer Inc., a biopharmaceutical company, discovers, develops, manufactures, and sells medicines for people and animals worldwide. Pfizer has a market cap of $199.2 billion and is part of the health care sector. The company has a P/E ratio of 20.4, above the S&P 500 P/E ratio of 17.7. Shares are up 1.0% year to date as of the close of trading on Wednesday. Currently there are 8 analysts that rate Pfizer a buy, 1 analyst rates it a sell, and 3 rate it a hold.

TheStreet Ratings rates Pfizer as a buy. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, increase in stock price during the past year, good cash flow from operations 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 Pfizer 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 drugs industry could consider SPDR S&P Pharmaceuticals ETF ( XPH) while those bearish on the drugs industry could consider ProShares UltraShort Nasdaq Biotech ( BIS).

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