3 Health Care Stocks Dragging The Sector Down

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 79 points (-0.5%) at 16,635 as of Friday, Aug. 15, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,072 issues advancing vs. 1,895 declining with 174 unchanged.

The Health Care sector currently sits down 0.7% versus the S&P 500, which is down 0.3%. On the negative front, top decliners within the sector include Smith & Nephew ( SNN), down 2.4%, DaVita HealthCare Partners ( DVA), down 1.6%, Fresenius Medical Care AG & Co. KGaA ( FMS), down 1.2%, WellPoint ( WLP), down 1.2% and Stryker Corporation ( SYK), down 1.1%. Top gainers within the sector include Agilent Technologies ( A), up 3.6%, Gilead ( GILD), up 1.2%, Actavis ( ACT), up 1.0%, Allergan ( AGN), up 1.1% and Valeant Pharmaceuticals International ( VRX), up 1.1%.

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

3. Thermo Fisher Scientific ( TMO) is one of the companies pushing the Health Care sector lower today. As of noon trading, Thermo Fisher Scientific is down $1.40 (-1.1%) to $120.38 on average volume. Thus far, 756,299 shares of Thermo Fisher Scientific exchanged hands as compared to its average daily volume of 1.8 million shares. The stock has ranged in price between $120.16-$122.89 after having opened the day at $121.95 as compared to the previous trading day's close of $121.78.

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 $48.5 billion and is part of the health services industry. Shares are up 9.0% year-to-date as of the close of trading on Thursday. 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 robust revenue growth, solid stock price performance, reasonable valuation levels, increase in net income and good cash flow from operations. 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.

2. As of noon trading, UnitedHealth Group ( UNH) is down $0.94 (-1.1%) to $80.88 on light volume. Thus far, 1.3 million shares of UnitedHealth Group exchanged hands as compared to its average daily volume of 3.7 million shares. The stock has ranged in price between $80.81-$82.28 after having opened the day at $82.21 as compared to the previous trading day's close of $81.82.

UnitedHealth Group Incorporated operates as a diversified health and well-being company in the United States. UnitedHealth Group has a market cap of $79.2 billion and is part of the health services industry. Shares are up 8.7% year-to-date as of the close of trading on Thursday. Currently there are 13 analysts that rate UnitedHealth Group a buy, 1 analyst rates it a sell, and 4 rate it a hold.

TheStreet Ratings rates UnitedHealth Group as a buy. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, revenue growth, reasonable valuation levels, growth in earnings per share and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full UnitedHealth Group 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, Medtronic ( MDT) is down $0.71 (-1.1%) to $63.02 on average volume. Thus far, 3.4 million shares of Medtronic exchanged hands as compared to its average daily volume of 8.9 million shares. The stock has ranged in price between $62.78-$63.82 after having opened the day at $63.52 as compared to the previous trading day's close of $63.73.

Medtronic, Inc. manufactures and sells device-based medical therapies worldwide. It operates through three segments: Cardiac and Vascular Group, Restorative Therapies Group, and Diabetes Group. Medtronic has a market cap of $63.2 billion and is part of the health services industry. Shares are up 10.6% year-to-date as of the close of trading on Thursday. Currently there are 11 analysts that rate Medtronic a buy, no analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Medtronic as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Medtronic 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 care sector could consider Health Care Select Sector SPDR ( XLV) while those bearish on the health care sector could consider ProShares Ultra Short Health Care ( RXD).

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