3 Stocks Dragging 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.

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 72 points (-0.4%) at 16,500 as of Friday, April 4, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,273 issues advancing vs. 1,704 declining with 143 unchanged.

The Drugs industry currently sits down 3.6% versus the S&P 500, which is down 0.5%. On the negative front, top decliners within the industry include Illumina ( ILMN), down 6.3%, Alexion Pharmaceuticals ( ALXN), down 5.3%, Valeant Pharmaceuticals International ( VRX), down 4.4%, Regeneron Pharmaceuticals ( REGN), down 3.0% and Gilead ( GILD), down 2.6%.

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

3. Jazz Pharmaceuticals ( JAZZ) is one of the companies pushing the Drugs industry lower today. As of noon trading, Jazz Pharmaceuticals is down $9.54 (-7.1%) to $125.61 on heavy volume. Thus far, 1.2 million shares of Jazz Pharmaceuticals exchanged hands as compared to its average daily volume of 1.2 million shares. The stock has ranged in price between $125.55-$137.22 after having opened the day at $136.78 as compared to the previous trading day's close of $135.15.

Jazz Pharmaceuticals Public Limited Company, a specialty biopharmaceutical company, identifies, develops, and commercializes pharmaceutical products for various medical needs in the United States, Europe, and internationally. Jazz Pharmaceuticals has a market cap of $8.1 billion and is part of the health care sector. Shares are up 6.8% year-to-date as of the close of trading on Thursday. Currently there are 9 analysts that rate Jazz Pharmaceuticals a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Jazz Pharmaceuticals as a buy. 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, expanding profit margins and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Jazz 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.

2. As of noon trading, Biogen Idec ( BIIB) is down $11.27 (-3.7%) to $290.59 on heavy volume. Thus far, 1.5 million shares of Biogen Idec exchanged hands as compared to its average daily volume of 1.7 million shares. The stock has ranged in price between $286.36-$305.48 after having opened the day at $303.71 as compared to the previous trading day's close of $301.86.

Biogen Idec Inc. discovers, develops, manufactures, and markets therapies for the treatment of neurodegenerative diseases, hemophilia, and autoimmune disorders in the United States and internationally. Biogen Idec has a market cap of $73.2 billion and is part of the health care sector. Shares are up 8.0% year-to-date as of the close of trading on Thursday. Currently there are 13 analysts that rate Biogen Idec a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Biogen Idec as a buy. 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, notable return on equity, reasonable valuation levels and solid stock price performance. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook. Get the full Biogen Idec 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, Actavis ( ACT) is down $2.83 (-1.4%) to $204.15 on average volume. Thus far, 1.0 million shares of Actavis exchanged hands as compared to its average daily volume of 2.6 million shares. The stock has ranged in price between $202.71-$210.74 after having opened the day at $208.00 as compared to the previous trading day's close of $206.98.

Actavis plc, an integrated specialty pharmaceutical company, is engaged in the development, manufacture, marketing, sale, and distribution of pharmaceutical products in the Americas, Europe, the Middle East, Africa, Australia, and the Asia Pacific. Actavis has a market cap of $36.4 billion and is part of the health care sector. Shares are up 23.2% year-to-date as of the close of trading on Thursday. Currently there are 13 analysts that rate Actavis a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates Actavis 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 deteriorating net income, disappointing return on equity and generally higher debt management risk. Get the full Actavis 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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