5 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.

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 65 points (-0.4%) at 16,380 as of Friday, Jan. 10, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,832 issues advancing vs. 1,123 declining with 123 unchanged.

The Health Care sector currently sits up 0.4% versus the S&P 500, which is down 0.2%. On the negative front, top decliners within the sector include Biomarin Pharmaceutical ( BMRN), down 2.1%, Celgene Corporation ( CELG), down 2.1%, Amgen ( AMGN), down 2.0%, UnitedHealth Group ( UNH), down 1.8% and Humana ( HUM), down 1.6%. Top gainers within the sector include Intercept Pharmaceuticals ( ICPT), up 58.9%, Boston Scientific ( BSX), up 1.6%, AstraZeneca ( AZN), up 1.2% and Bristol-Myers Squibb Company ( BMY), up 0.9%.

TheStreet would like to highlight 5 stocks pushing the sector lower today:

5. DaVita HealthCare Partners ( DVA) is one of the companies pushing the Health Care sector lower today. As of noon trading, DaVita HealthCare Partners is down $1.17 (-1.8%) to $64.47 on light volume. Thus far, 576,818 shares of DaVita HealthCare Partners exchanged hands as compared to its average daily volume of 2.1 million shares. The stock has ranged in price between $64.39-$65.85 after having opened the day at $65.85 as compared to the previous trading day's close of $65.64.

DaVita HealthCare Partners Inc. provides kidney dialysis services for patients suffering from chronic kidney failure, or end stage renal disease (ESRD) in the United States. DaVita HealthCare Partners has a market cap of $13.9 billion and is part of the health services industry. The company has a P/E ratio of 24.6, above the S&P 500 P/E ratio of 17.7. Shares are up 3.6% year-to-date as of the close of trading on Thursday. Currently there are 9 analysts that rate DaVita HealthCare Partners a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates DaVita HealthCare Partners as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, good cash flow from operations 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 DaVita HealthCare Partners 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.

4. As of noon trading, Cigna ( CI) is down $1.02 (-1.1%) to $89.03 on light volume. Thus far, 427,243 shares of Cigna exchanged hands as compared to its average daily volume of 1.5 million shares. The stock has ranged in price between $88.78-$90.63 after having opened the day at $90.24 as compared to the previous trading day's close of $90.05.

Cigna Corporation, a health services organization, provides insurance and related products and services in the United States and internationally. Cigna has a market cap of $24.3 billion and is part of the health services industry. The company has a P/E ratio of 13.4, below the S&P 500 P/E ratio of 17.7. Shares are up 2.9% year-to-date as of the close of trading on Thursday. Currently there are 8 analysts that rate Cigna a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Cigna 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, solid stock price performance, growth in earnings per share and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Cigna 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.

3. As of noon trading, Valeant Pharmaceuticals International ( VRX) is down $0.75 (-0.6%) to $131.42 on average volume. Thus far, 826,653 shares of Valeant Pharmaceuticals International exchanged hands as compared to its average daily volume of 1.1 million shares. The stock has ranged in price between $129.69-$132.08 after having opened the day at $131.81 as compared to the previous trading day's close of $132.17.

Valeant Pharmaceuticals International, Inc., a specialty pharmaceutical company, develops, manufactures, and markets pharmaceutical products and medical devices in the areas of neurology, dermatology, and branded generics. Valeant Pharmaceuticals International has a market cap of $42.7 billion and is part of the drugs industry. Shares are up 12.6% year-to-date as of the close of trading on Thursday. Currently there are 9 analysts that rate Valeant Pharmaceuticals International a buy, 1 analyst rates it a sell, and none rate it a hold.

TheStreet Ratings rates Valeant Pharmaceuticals International as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and generally higher debt management risk. Get the full Valeant Pharmaceuticals International 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, WellPoint ( WLP) is down $1.01 (-1.1%) to $91.99 on light volume. Thus far, 675,245 shares of WellPoint exchanged hands as compared to its average daily volume of 2.1 million shares. The stock has ranged in price between $90.86-$92.95 after having opened the day at $92.74 as compared to the previous trading day's close of $93.00.

WellPoint, Inc., a health benefits company, through its subsidiaries, offers network-based managed care plans to large and small employer, individual, Medicaid, and senior markets in the United States. The company operates through three segments: Commercial, Consumer, and Other. WellPoint has a market cap of $27.2 billion and is part of the health services industry. The company has a P/E ratio of 10.0, below the S&P 500 P/E ratio of 17.7. Shares are up 0.7% year-to-date as of the close of trading on Thursday. Currently there are 5 analysts that rate WellPoint a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates WellPoint 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, solid stock price performance, attractive valuation levels and good cash flow from operations. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full WellPoint 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 $0.35 (-0.8%) to $41.22 on light volume. Thus far, 2.0 million shares of Teva Pharmaceutical Industries exchanged hands as compared to its average daily volume of 6.3 million shares. The stock has ranged in price between $41.18-$42.00 after having opened the day at $41.70 as compared to the previous trading day's close of $41.57.

Teva Pharmaceutical Industries Limited develops, manufactures, markets, and distributes pharmaceutical products worldwide. Teva Pharmaceutical Industries has a market cap of $34.7 billion and is part of the drugs industry. The company has a P/E ratio of 18.2, above the S&P 500 P/E ratio of 17.7. Shares are up 3.7% year-to-date as of the close of trading on Thursday. Currently there are 5 analysts that rate Teva Pharmaceutical Industries a buy, 3 analysts rate it a sell, and 10 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 and weak operating cash flow. 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 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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