• 2 days Bitcoin Lives Up To Its Safe Haven Status In A Big Way
  • 2 days 14 Million People Will Lose Unemployment Benefits On December 31st
  • 4 days Why 12 Million American Millionaires Isn’t Good News
  • 5 days Big Oil Is Paying The Price For Investing In Renewables
  • 6 days The Banking Industry’s $35 Billion Gravy Train Could Disappear
  • 7 days Did Amazon Just Democratize Prescription Drugs?
  • 8 days The Private Space Race Just Got Very Real
  • 10 days Short Sellers Are Willing Big In This Turbulent Market
  • 11 days SpaceX Gets Go-Ahead To Send Humans Into Space
  • 12 days Saudi Arabia Lost $27 Billion In Oil Crash
  • 13 days China’s Big Tech Takes A Hit As Regulators Crack Down
  • 14 days Black Friday Could Be Retailers’ Only Hope
  • 15 days Why You Should Not Dump Your Stay At Home Stocks Just Yet
  • 16 days The Real Reason Why Uber And Lyft Stocks Have Soared Nearly 50%
  • 18 days Bitcoin Heads Towards $16,000 And No One’s Cashing In
  • 19 days Elon Musk’s $250 Tesla Tequila Is Already Sold Out
  • 20 days Will The San Francisco Wealth Tax Spark An Exodus Of The Rich?
  • 21 days The Fin-Tech IPO Of The Century Just Got Crushed
  • 22 days UK Bookies Report Largest-Ever Political Bet Ahead Of Election Results
  • 23 days Better Safe Than Sorry: 5 Alternative Investment Plays
What's Behind The Global EV Sales Slowdown?

What's Behind The Global EV Sales Slowdown?

An economic slowdown in many…

How The Ultra-Wealthy Are Using Art To Dodge Taxes

How The Ultra-Wealthy Are Using Art To Dodge Taxes

More freeports open around the…

Charles Benavidez

Charles Benavidez

Staff Writer, Safehaven.com

Charles Benavidez is a writer and editor for Safehaven.com. Charles is located in New York City and has over 5 years of experiencing covering financial…

Contact Author

  1. Home
  2. Markets
  3. Other

The 5 Worst Performers In February’s Stock Downturn

Stock

The Dow broke all kinds of records in February—none of them records stock market investors want to see broken.

All within the month, the Dow saw its biggest one-day point drop in history and its biggest weekly decline in more than two years, while stocks saw their biggest declines since 2009—and it’s not over yet as we head into a new kind of March Madness.

The Number One loser was Walmart, which lost 15.6 percent in February overall.

(Click to enlarge)

The chart pretty much says it all. While inflation and interest rate hikes fears have ruled the month, Walmart’s slowing sales reported for the fourth quarter of 2017 sparked off the rapid decline.

In its battle for online retail dominance with Amazon, Walmart appears to have lost. Last year, things were looking much brighter for this stock, and the retailer had investors convinced that it could take on Amazon with online sales. But Q42017 earnings painted a different picture—one of slowing online sales growth. That’s where Walmart lost its mojo. What, after all, is the point?

On its worst day, 20 February, Walmart was the biggest drag on the Dow, accounting for one-third of the 255 points the Dow lost that day. For Walmart, it meant a $31-billion market value sell-off.

And that was just one day in a month that was bad for many.

The bad news keeps coming in for Walmart. On Friday, Oppenheimer downgraded the stock from “outperform” to “perform”. They’re anything but excited at this point.

But Walmart wasn’t the only February drag on the Dow: The Number Two spot goes to Exxon Mobil (NYSE:XOM), which lost 13.2 percent for the month. Related: How Russia Attacked U.S. Energy Markets

Exxon tanked on earnings, too, just when 2018 was looking promising. And it didn’t just miss earnings estimates; rather, it missed them by a longshot. Earnings per share were $0.88--$0.15 off the target, and the 18-percent increase in revenue was $8 billion shy of estimates.

The Number Three spot was held unsurprisingly by General Electric (GE), one of the most unattractive stocks that’s been struggling at best for a year, with everyone thinking the bottom must be visible, though it never is.

And it didn’t help matters when Warren Buffett said he was “staggered” at GE’s “big time” financial lapses.

Losers four and five, Verizon and Chevron, lost 11.7 percent and 10.7 percent, respectively. Verizon’s banking on high-flying 5G announcements to claw its share price back up, and Chevron is hoping for an oil price miracle after it badly missed its earnings estimates.

The loser list for March is shaping up to be another Dow-dragging affair as well, with no respite in view; trade warmongering steel tariffs looming; inflation fears heightening and one of the most listened-to investors telling people to give up the ghost of stocks.

By Charles Benavidez for Safehaven.com

More Top Reads From Safehaven.com:

Back to homepage

Leave a comment

Leave a comment