3 Stocks Dragging The Health Services Industry Downward

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One out of the three major indices are trading lower today with the Dow Jones Industrial Average ( ^DJI) trading up 40 points (0.2%) at 17,108 as of Wednesday, Sept. 3, 2014, 12:55 PM ET. The NYSE advances/declines ratio sits at 1,478 issues advancing vs. 1,497 declining with 182 unchanged.

The Health Services industry currently sits down 0.3% versus the S&P 500, which is up 0.1%. Top gainers within the industry include Catamaran ( CTRX), up 1.8%, Laboratory Corp of America Hldgs ( LH), up 1.6%, WellPoint ( WLP), up 1.1%, Aetna ( AET), up 1.0% and UnitedHealth Group ( UNH), up 1.0%.

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

3. DexCom ( DXCM) is one of the companies pushing the Health Services industry lower today. As of noon trading, DexCom is down $1.02 (-2.3%) to $43.80 on average volume. Thus far, 422,939 shares of DexCom exchanged hands as compared to its average daily volume of 711,200 shares. The stock has ranged in price between $43.44-$44.65 after having opened the day at $44.62 as compared to the previous trading day's close of $44.82.

DexCom, Inc., a medical device company, focuses on the design, development, and commercialization of continuous glucose monitoring systems. DexCom has a market cap of $3.3 billion and is part of the health care sector. Shares are up 26.6% year-to-date as of the close of trading on Tuesday. Currently there are 9 analysts that rate DexCom a buy, 1 analyst rates it a sell, and 3 rate it a hold.

TheStreet Ratings rates DexCom as a sell. The area that we feel has been the company's primary weakness has been its disappointing return on equity. Get the full DexCom 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, Universal Health Services ( UHS) is down $1.71 (-1.5%) to $112.95 on average volume. Thus far, 422,490 shares of Universal Health Services exchanged hands as compared to its average daily volume of 759,100 shares. The stock has ranged in price between $112.93-$115.64 after having opened the day at $114.57 as compared to the previous trading day's close of $114.66.

Universal Health Services, Inc., through its subsidiaries, owns and operates acute care hospitals, behavioral health centers, surgical hospitals, ambulatory surgery centers, and radiation oncology centers. Universal Health Services has a market cap of $10.5 billion and is part of the health care sector. Shares are up 41.1% year-to-date as of the close of trading on Tuesday. Currently there are 11 analysts that rate Universal Health Services a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Universal Health Services 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, good cash flow from operations and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Universal Health Services 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, HCA Holdings ( HCA) is down $0.36 (-0.5%) to $69.80 on light volume. Thus far, 975,525 shares of HCA Holdings exchanged hands as compared to its average daily volume of 3.2 million shares. The stock has ranged in price between $69.40-$70.15 after having opened the day at $70.15 as compared to the previous trading day's close of $70.15.

HCA Holdings, Inc., through its subsidiaries, provides health care services. HCA Holdings has a market cap of $30.2 billion and is part of the health care sector. Shares are up 47.0% year-to-date as of the close of trading on Tuesday. Currently there are 15 analysts that rate HCA Holdings a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates HCA Holdings as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, revenue growth, good cash flow from operations and growth in earnings per share. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full HCA Holdings 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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