In this article, we will take a look at the 10 biggest losers today. If you want to see some other stocks losing value on Wednesday, go directly to 5 Biggest Losers Today.
Wall Street’s key indices opened marginally higher this morning. However, they turned red in mid-day trading Wednesday after the Federal Reserve lifted interest rates by 75 basis points. As of 2:26 PM ET, S&P 500 was down 67 percent, Nasdaq Composite was negative 37 percent and Dow Jones Industrial Average slid 71 percent. In addition, the Fed hinted at further hikes in the coming months to tackle inflation. Officials expect rates to hit 4.4 percent by the end of this year.
Meanwhile, notable U.S. stocks, including United Airlines Holdings, Inc. (NASDAQ:UAL), Micron Technology, Inc. (NASDAQ:MU) and The Chemours Company (NYSE:CC) fell this morning.
Shares of United Airlines Holdings, Inc. (NASDAQ:UAL) moved down after the company grounded 25 of its Boeing 777-200 aircrafts on missing inspections, while The Chemours Company (NYSE:CC) shares dropped after trimming its EBITDA outlook. On the other hand, Micron Technology, Inc. (NASDAQ:MU) shares fell to a new low this morning after receiving a downgrade from Mizuho. However, the stock recovered its lost value later in the day.
Photo by Adam Nowakowski on Unsplash
10. Aurora Cannabis Inc. (NASDAQ:ACB)
Number of Hedge Fund Holders: 10
Shares of Aurora Cannabis Inc. (NASDAQ:ACB) declined more than six percent this morning after the Canadian cannabis company released its fiscal fourth-quarter results that failed to impress investors.
Aurora Cannabis Inc. (NASDAQ:ACB) reported a loss of C$618.8 million, significantly wider than a loss of C$134 million in the corresponding period of 2021. Revenue for the quarter also dropped to C$50.2 million, from C$54.8 million in the year-ago period.
Meanwhile, Cantor Fitzgerald trimmed its price target for Aurora Cannabis Inc. (NASDAQ:ACB) from $3.12 per share to $3 per share following its fourth quarter performance. The research firm doesn’t see any considerable improvement in the top-line trends in the near term.
9. Sotera Health Company (NASDAQ:SHC)
Number of Hedge Fund Holders: 16
Sotera Health Company (NASDAQ:SHC) is next on the list of 10 biggest losers today. The stock plunged to an all-time low of $7.37 this morning after JPMorgan turned bearish on the sterilization and lab testing services provider.
JPMorgan analyst Casey Woodring cut his ratings for Sotera Health Company (NASDAQ:SHC) from “Overweight” to “Underweight,” citing a recent verdict against the company. Woodring also trimmed his price target from $26 to $9.
The downgrade came a day after a jury announced a $363 million ruling against Sotera Health Company (NASDAQ:SHC). Plaintiff Susan Kamuda won the award after convincing the jury that she developed breast cancer due to ethylene oxide emissions from one of Sotera’s plants.
8. ZIM Integrated Shipping Services Ltd. (NYSE:ZIM)
Number of Hedge Fund Holders: 19
ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) is a cargo shipping firm based in Israel. The company specializes in cargo management, tariff handling and related services. The company’s shares fell over three percent today after Goldman Sachs trimmed its price target for ZIM from $60 per share to $30 per share.
Analyst Patrick Creuset revised the price target as a part of a broader research note on European transportation stocks. While Creuset is convinced with the company’s performance in recent years, he expects lower material cash flows for ZIM Integrated Shipping Services Ltd. (NYSE:ZIM).
Like ZIM Integrated Shipping Services Ltd. (NYSE:ZIM), shares of United Airlines Holdings, Inc. (NASDAQ:UAL), Micron Technology, Inc. (NASDAQ:MU) and The Chemours Company (NYSE:CC) also moved down earlier today.
7. Stitch Fix, Inc. (NASDAQ:SFIX)
Number of Hedge Fund Holders: 23
Shares of Stitch Fix, Inc. (NASDAQ:SFIX) fell to a new low in pre-market trading Wednesday after announcing disappointing financial results for its fiscal fourth quarter. The online personal styling service blamed the current macroeconomic environment for the weak results.
Stitch Fix, Inc. (NASDAQ:SFIX) reported a loss of 89 cents per share, swinging from earnings of 19 cents per share in the comparable period of 2021. Revenue for the quarter plummeted 16 percent versus last year to $481.9 million. The results missed analysts’ average estimate for a loss of 63 cents per share and revenue of $489 million.
Looking forward, Stitch Fix, Inc. (NASDAQ:SFIX) guided for revenue in the range of $455 – $465 million, representing a year-over-year drop of 20 – 22 percent. The sales guidance is also well below the consensus of $525 million.
6. XPeng Inc. (NYSE:XPEV)
Number of Hedge Fund Holders: 24
XPeng Inc. (NYSE:XPEV) rolled out its latest electric G9 SUV today. Yet, the company’s shares plunged over 12 percent this morning following the launch. Today’s sell-off is also a bit surprising, given XPeng’s optimism surrounding the success of G9. Morgan Stanley analyst Tim Hsiao believes the sell-off might be tied to pricing of the XPeng’s new G9 SUV.
The company’s senior management believes the latest model would likely become its best seller. XPeng Inc. (NYSE:XPEV) is expected to commence the deliveries of G9 next month. The SUV carries a price tag in the range of $45,000 – $65,000, depending on the variant.
XPeng Inc. (NYSE:XPEV) said G9 comes with fast charging capabilities, giving drivers 100-plus miles with a charge time of just 5 minutes.
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Disclosure: None. 10 Biggest Losers Today is originally published on Insider Monkey.
