CVS Caremark Corp (CVS): Today's Featured Services Laggard

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.

CVS Caremark ( CVS) pushed the Services sector lower today making it today's featured Services laggard. The sector as a whole closed the day down 1.4%. By the end of trading, CVS Caremark fell $0.96 (-1.4%) to $68.55 on light volume. Throughout the day, 3,608,807 shares of CVS Caremark exchanged hands as compared to its average daily volume of 5,312,300 shares. The stock ranged in price between $68.43-$69.68 after having opened the day at $69.33 as compared to the previous trading day's close of $69.51. Other companies within the Services sector that declined today were: Bon-Ton Stores ( BONT), down 13.5%, China Yida ( CNYD), down 12.2%, China Auto Logistics ( CALI), down 11.7% and VisionChina Media ( VISN), down 10.2%.

CVS Caremark Corporation, together with its subsidiaries, provides integrated pharmacy health care services in the United States. CVS Caremark has a market cap of $83.2 billion and is part of the retail industry. The company has a P/E ratio of 19.5, above the S&P 500 P/E ratio of 17.7. Shares are down 2.9% year to date as of the close of trading on Friday. Currently there are 14 analysts that rate CVS Caremark a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates CVS Caremark as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins.

On the positive front, DLH Holdings ( DLHC), up 25.8%, WEX ( WEX), up 17.6%, VirtualScopics ( VSCP), up 10.7% and Country Style Cooking Restaurant Chain ( CCSC), up 7.9%.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the services sector could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the services sector could consider ProShares Ultra Short Consumer Sers ( SCC).

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

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