3 Stocks Pulling The Drugs Industry Downward

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 lower today with the Dow Jones Industrial Average ( ^DJI) trading up 78 points (0.5%) at 16,105 as of Friday, Feb. 14, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,755 issues advancing vs. 1,149 declining with 181 unchanged.

The Drugs industry currently sits down 0.6% versus the S&P 500, which is up 0.3%. On the negative front, top decliners within the industry include Incyte ( INCY), down 3.5%, Regeneron Pharmaceuticals ( REGN), down 2.1%, Valeant Pharmaceuticals International ( VRX), down 1.3%, Allergan ( AGN), down 0.7% and Celgene Corporation ( CELG), down 0.6%. Top gainers within the industry include Bristol-Myers Squibb Company ( BMY), up 1.4%, Eli Lilly and Company ( LLY), up 0.7% and Pfizer ( PFE), up 0.5%.

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

3. Vertex Pharmaceuticals ( VRTX) is one of the companies pushing the Drugs industry lower today. As of noon trading, Vertex Pharmaceuticals is down $2.18 (-2.6%) to $82.82 on light volume. Thus far, 491,829 shares of Vertex Pharmaceuticals exchanged hands as compared to its average daily volume of 1.7 million shares. The stock has ranged in price between $82.45-$84.98 after having opened the day at $84.38 as compared to the previous trading day's close of $85.00.

Vertex Pharmaceuticals Incorporated engages in discovering, developing, manufacturing, and commercializing small molecule drugs for patients with serious diseases. Vertex Pharmaceuticals has a market cap of $19.8 billion and is part of the health care sector. Shares are up 14.4% year-to-date as of the close of trading on Thursday. Currently there are 13 analysts that rate Vertex Pharmaceuticals a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Vertex Pharmaceuticals as a hold. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income and revenue growth. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, weak operating cash flow and feeble growth in the company's earnings per share. Get the full Vertex Pharmaceuticals Ratings Report now.

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2. As of noon trading, Intercept Pharmaceuticals ( ICPT) is down $19.12 (-5.2%) to $347.45 on light volume. Thus far, 270,220 shares of Intercept Pharmaceuticals exchanged hands as compared to its average daily volume of 770,200 shares. The stock has ranged in price between $342.70-$373.85 after having opened the day at $367.51 as compared to the previous trading day's close of $366.57.

Intercept Pharmaceuticals, Inc., a development stage biopharmaceutical company, focuses on the development and commercialization of novel therapeutics to treat chronic liver diseases utilizing its proprietary bile acid chemistry. Intercept Pharmaceuticals has a market cap of $7.1 billion and is part of the health care sector. Shares are up 440.3% year-to-date as of the close of trading on Thursday. Currently there are 5 analysts that rate Intercept Pharmaceuticals a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Intercept Pharmaceuticals as a sell. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share and deteriorating net income. Get the full Intercept Pharmaceuticals 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, Gilead ( GILD) is down $1.51 (-1.8%) to $81.04 on light volume. Thus far, 3.7 million shares of Gilead exchanged hands as compared to its average daily volume of 11.6 million shares. The stock has ranged in price between $81.00-$82.85 after having opened the day at $82.81 as compared to the previous trading day's close of $82.55.

Gilead Sciences, Inc., a biopharmaceutical company, discovers, develops, and commercializes human therapeutics for the treatment of life threatening diseases in North America, Europe, and Asia. Gilead has a market cap of $125.7 billion and is part of the health care sector. Shares are up 9.9% year-to-date as of the close of trading on Thursday. Currently there are 18 analysts that rate Gilead a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Gilead as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, reasonable valuation levels, expanding profit margins and increase in net income. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results. Get the full Gilead 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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