Herbalife Ltd. (HLF): Today's Featured Drugs 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.

Herbalife ( HLF) pushed the Drugs industry lower today making it today's featured Drugs laggard. The industry as a whole closed the day up 1.0%. By the end of trading, Herbalife fell $1.04 (-1.6%) to $66.19 on average volume. Throughout the day, 3,258,675 shares of Herbalife exchanged hands as compared to its average daily volume of 3,672,000 shares. The stock ranged in price between $65.15-$67.65 after having opened the day at $66.50 as compared to the previous trading day's close of $67.23. Other companies within the Drugs industry that declined today were: Nanoviricides ( NNVC), down 24.0%, Compugen ( CGEN), down 14.5%, Cambrex Corporation ( CBM), down 14.2% and Oramed Pharmaceuticals ( ORMP), down 6.8%.

Herbalife Ltd., through its subsidiaries, produces and distributes weight management, healthy meals and snacks, sports and fitness, energy and targeted nutritional products, and personal care products worldwide. Herbalife has a market cap of $6.8 billion and is part of the consumer goods sector. Shares are down 14.4% year to date as of the close of trading on Monday. Currently there are 4 analysts that rate Herbalife a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Herbalife as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, impressive record of earnings per share growth, increase in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

On the positive front, Cadence Pharmaceuticals ( CADX), up 26.5%, Relypsa ( RLYP), up 18.9%, Stemline Therapeutics ( STML), up 17.5% and CEL-SCI Corporation ( CVM), up 15.0% , were all gainers within the drugs industry with Gilead ( GILD) being today's featured drugs industry leader.

For investors not wanting singular stock exposure, 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).

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 liked this article you might like

One of the Most Recognized Hedge Fund Managers Has Had a Terrible Year

Beleaguered Hedge Fund Titan Bill Ackman Is Having Another Rough Year

With Eyes on Solar Eclipse, Wall Street Stumbles Yet Again