A Year of Ups and Downs: Uncovering the S&P 500’s Laggards
As 2024 nears its close, the S&P 500 index has reached new heights, boasting a impressive 24% year-to-date gain. However, not all stocks have shared in this success. Amidst the market’s overall prosperity, a select few have struggled to keep pace.
The Bottom Five: A Closer Look
Among the S&P 500’s worst performers, five stocks stand out for their significant price declines. Ranked from steepest to narrowest, they are:
- Walgreens Boots Alliance (NASDAQ: WBA) – Healthcare, 64.6%
- Estée Lauder (NYSE: EL) – Cosmetics, 56.7%
- Dollar Tree (NASDAQ: DLTR) – Retail, 56.1%
- Intel (NASDAQ: INTC) – Tech, 50.3%
- Moderna (NASDAQ: MRNA) – Healthcare, 47.8%
What’s Behind the Slump?
A closer examination reveals that these struggling stocks aren’t victims of industry-wide trends. Instead, each faces unique challenges. Intel, once a leader in PC processors, has been hurt by declining PC sales and struggles to reinvent itself. Walgreens and Dollar Tree, with their brick-and-mortar retail operations, face pressure from online shopping and inflation’s impact on consumer spending. Estée Lauder’s succession issues and dividend cut have dampened investor sentiment, while Moderna’s post-pandemic growth has slowed.
A Potential Bargain Amidst the Laggards
Among these underperformers, Moderna stands out as a potential bargain. With its innovative mRNA-based technology, the biotech company continues to develop promising vaccines and medicines. While biotechs require time and resources to create new products, Moderna’s cutting-edge approach could lead to future breakthroughs, rewarding patient investors.
Don’t Miss Out on Future Success Stories
If you’re concerned about missing out on the next big opportunity, consider this: our expert analysts occasionally issue “Double Down” stock recommendations for companies poised for significant growth. By acting quickly, you can capitalize on these opportunities before they slip away.
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