CTRX, LH And TMO, Pushing Health Services 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 49 points (0.3%) at 16,411 as of Monday, April 28, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,415 issues advancing vs. 1,576 declining with 152 unchanged.

The Health Services industry currently sits down 1.3% versus the S&P 500, which is unchanged. On the negative front, top decliners within the industry include Haemonetics ( HAE), down 8.7%, Icon ( ICLR), down 7.0%, Parexel International ( PRXL), down 6.4%, Charles River Laboratories International In ( CRL), down 5.2% and Covance ( CVD), down 3.3%. A company within the industry that increased today was Smith & Nephew ( SNN), up 0.8%.

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

3. Catamaran ( CTRX) is one of the companies pushing the Health Services industry lower today. As of noon trading, Catamaran is down $0.65 (-1.7%) to $38.30 on average volume. Thus far, 1.2 million shares of Catamaran exchanged hands as compared to its average daily volume of 2.6 million shares. The stock has ranged in price between $38.15-$39.19 after having opened the day at $39.04 as compared to the previous trading day's close of $38.95.

Catamaran Corporation provides pharmacy benefit management (PBM) services and healthcare information technology (HCIT) solutions to the healthcare benefits management industry in North America. The company operates in two segments: PBM and HCIT. Catamaran has a market cap of $8.1 billion and is part of the health care sector. The company has a P/E ratio of 36.0, above the S&P 500 P/E ratio of 17.7. Shares are down 17.9% year-to-date as of the close of trading on Friday. Currently there are 13 analysts that rate Catamaran a buy, no analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates Catamaran 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, 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 has had lackluster performance in the stock itself. Get the full Catamaran 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, Laboratory Corp of America Hldgs ( LH) is down $1.48 (-1.5%) to $98.01 on heavy volume. Thus far, 972,327 shares of Laboratory Corp of America Hldgs exchanged hands as compared to its average daily volume of 1.2 million shares. The stock has ranged in price between $95.12-$101.34 after having opened the day at $97.56 as compared to the previous trading day's close of $99.49.

Laboratory Corporation of America Holdings operates as an independent clinical laboratory company worldwide. Laboratory Corp of America Hldgs has a market cap of $8.5 billion and is part of the health care sector. The company has a P/E ratio of 15.7, below the S&P 500 P/E ratio of 17.7. Shares are up 8.9% year-to-date as of the close of trading on Friday. Currently there are 6 analysts that rate Laboratory Corp of America Hldgs a buy, 2 analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates Laboratory Corp of America Hldgs as a buy. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, increase in net income, revenue growth, notable return on equity and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full Laboratory Corp of America Hldgs 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, Thermo Fisher Scientific ( TMO) is down $1.32 (-1.2%) to $112.97 on average volume. Thus far, 1.0 million shares of Thermo Fisher Scientific exchanged hands as compared to its average daily volume of 2.7 million shares. The stock has ranged in price between $112.82-$115.42 after having opened the day at $115.10 as compared to the previous trading day's close of $114.29.

Thermo Fisher Scientific Inc. provides analytical instruments, equipment, reagents and consumables, software, and services for research, manufacturing, analysis, discovery, and diagnostics in the United States and internationally. Thermo Fisher Scientific has a market cap of $46.0 billion and is part of the health care sector. The company has a P/E ratio of 35.4, above the S&P 500 P/E ratio of 17.7. Shares are up 2.7% year-to-date as of the close of trading on Friday. Currently there are 13 analysts that rate Thermo Fisher Scientific a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Thermo Fisher Scientific as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, growth in earnings per share, compelling growth in net income and reasonable valuation levels. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Thermo Fisher Scientific 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 health services industry could consider Health Care Select Sector SPDR ( XLV) while those bearish on the health services industry could consider ProShares Ultra Short Health Care ( RXD).

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