Health Services Stocks On The Rise With Help From 3 Stocks

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 up today with the Dow Jones Industrial Average ( ^DJI) trading up 21 points (0.1%) at 16,839 as of Wednesday, June 25, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,709 issues advancing vs. 1,282 declining with 166 unchanged.

The Health Services industry currently sits up 0.3% versus the S&P 500, which is up 0.2%. Top gainers within the industry include Medical Action Industries ( MDCI), up 93.6%, Align Technology ( ALGN), up 2.4%, CR Bard ( BCR), up 2.3%, Hologic ( HOLX), up 2.1% and Becton Dickinson ( BDX), up 1.0%. On the negative front, top decliners within the industry include Grifols ( GRFS), down 2.1%, Tenet Healthcare ( THC), down 1.9%, Icon ( ICLR), down 1.9% and Smith & Nephew ( SNN), down 0.9%.

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

3. Aetna ( AET) is one of the companies pushing the Health Services industry higher today. As of noon trading, Aetna is up $0.46 (0.6%) to $81.45 on average volume. Thus far, 1.2 million shares of Aetna exchanged hands as compared to its average daily volume of 2.5 million shares. The stock has ranged in price between $80.96-$81.91 after having opened the day at $80.96 as compared to the previous trading day's close of $80.99.

Aetna Inc. operates as a diversified health care benefits company in the United States. The company operates in three segments: Health Care, Group Insurance, and Large Case Pensions. Aetna has a market cap of $29.3 billion and is part of the health care sector. Shares are up 18.1% year-to-date as of the close of trading on Tuesday. Currently there are 12 analysts who rate Aetna a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Aetna 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, compelling growth in net income and attractive valuation levels. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Aetna Ratings Report now.

3x UPSIDE POTENTIAL: 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, Abbott Laboratories ( ABT) is up $0.31 (0.8%) to $40.76 on light volume. Thus far, 1.7 million shares of Abbott Laboratories exchanged hands as compared to its average daily volume of 6.3 million shares. The stock has ranged in price between $40.44-$40.98 after having opened the day at $40.63 as compared to the previous trading day's close of $40.45.

Abbott Laboratories is engaged in the discovery, development, manufacture, and sale of health care products worldwide. Abbott Laboratories has a market cap of $61.4 billion and is part of the health care sector. Shares are up 5.5% year-to-date as of the close of trading on Tuesday. Currently there are 11 analysts who rate Abbott Laboratories a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Abbott Laboratories as a hold. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, expanding profit margins and notable return on equity. However, as a counter to these strengths, we also find weaknesses including deteriorating net income and weak operating cash flow. Get the full Abbott Laboratories Ratings Report now.

3x UPSIDE POTENTIAL: 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, WellPoint ( WLP) is up $0.65 (0.6%) to $108.56 on light volume. Thus far, 464,359 shares of WellPoint exchanged hands as compared to its average daily volume of 2.4 million shares. The stock has ranged in price between $107.78-$108.93 after having opened the day at $107.94 as compared to the previous trading day's close of $107.91.

WellPoint, Inc., a health benefits company, through its subsidiaries, provides a range of medical products in the United States. The company offers a spectrum of network-based managed care health benefit plans to large and small employer, individual, Medicaid, and senior markets. WellPoint has a market cap of $30.4 billion and is part of the health care sector. Shares are up 16.8% year-to-date as of the close of trading on Tuesday. Currently there are 7 analysts who rate WellPoint a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates WellPoint as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, revenue growth, largely solid financial position with reasonable debt levels by most measures, attractive valuation levels and good cash flow from operations. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full WellPoint Ratings Report now.

3x UPSIDE POTENTIAL: 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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