SHPG, REGN And LLY, 3 Drugs Stocks Pushing The Industry Lower

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 62 points (0.4%) at 17,123 as of Wednesday, July 16, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,670 issues advancing vs. 1,271 declining with 202 unchanged.

The Drugs industry currently sits down 0.6% versus the S&P 500, which is up 0.4%. On the negative front, top decliners within the industry include Gilead ( GILD), down 2.4%, Biogen Idec ( BIIB), down 2.0%, Celgene ( CELG), down 0.8% and AbbVie ( ABBV), down 0.6%. A company within the industry that increased today was Sanofi ( SNY), up 0.7%.

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

3. Shire ( SHPG) is one of the companies pushing the Drugs industry lower today. As of noon trading, Shire is down $4.38 (-1.8%) to $245.17 on heavy volume. Thus far, 2.0 million shares of Shire exchanged hands as compared to its average daily volume of 1.0 million shares. The stock has ranged in price between $243.25-$248.25 after having opened the day at $247.81 as compared to the previous trading day's close of $249.55.

Shire plc, a biopharmaceutical company, together with its subsidiaries, researches, develops, licenses, manufactures, markets, distributes, and sells pharmaceutical products. Shire has a market cap of $49.9 billion and is part of the health care sector. Shares are up 76.6% year-to-date as of the close of trading on Tuesday. Currently there are 6 analysts that rate Shire a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Shire as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, notable return on equity, compelling growth in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value. Get the full Shire 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, Regeneron Pharmaceuticals ( REGN) is down $4.21 (-1.4%) to $307.94 on average volume. Thus far, 384,540 shares of Regeneron Pharmaceuticals exchanged hands as compared to its average daily volume of 849,900 shares. The stock has ranged in price between $305.10-$315.25 after having opened the day at $315.10 as compared to the previous trading day's close of $312.15.

Regeneron Pharmaceuticals, Inc., a biopharmaceutical company, discovers, invents, develops, manufactures, and commercializes medicines for the treatment of serious medical conditions in the United States and internationally. Regeneron Pharmaceuticals has a market cap of $31.4 billion and is part of the health care sector. Shares are up 13.4% year-to-date as of the close of trading on Tuesday. Currently there are 6 analysts that rate Regeneron Pharmaceuticals a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Regeneron Pharmaceuticals as a hold. 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 and notable return on equity. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, poor profit margins and weak operating cash flow. Get the full Regeneron 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, Eli Lilly and ( LLY) is down $0.47 (-0.8%) to $62.39 on light volume. Thus far, 1.5 million shares of Eli Lilly and exchanged hands as compared to its average daily volume of 4.3 million shares. The stock has ranged in price between $62.07-$63.17 after having opened the day at $63.05 as compared to the previous trading day's close of $62.86.

Eli Lilly and Company discovers, develops, manufactures, and sells pharmaceutical products worldwide. It operates in two segments, Human Pharmaceutical Products and Animal Health Products. Eli Lilly and has a market cap of $70.5 billion and is part of the health care sector. Shares are up 23.2% year-to-date as of the close of trading on Tuesday. Currently there are 5 analysts that rate Eli Lilly and a buy, 1 analyst rates it a sell, and 8 rate it a hold.

TheStreet Ratings rates Eli Lilly and as a buy. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, solid stock price performance and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Eli Lilly and 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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