In this article, we will look at the 10 Worst Performing Large Cap Stocks to Buy According to Analysts.
How Did The Market Perform in Q4 2024?
On January 21, Russell Investment released its Equity Factor report highlighting key trends and performances in global equity markets during the fourth quarter of 2024. The period was marked by significant events, including the conclusion of the US presidential election, which led to heightened expectations of economic growth, deregulation, and lower taxes. These factors contributed to a robust return of 2.7% for the Russell 1000 Index, which tracks the performance of large-cap US companies by market capitalization.
READ ALSO: 10 Best Performing Large Cap Stocks to Buy According to Analysts and 10 Best Small-Cap Growth Stocks to Buy Now.
On the other hand, Developed ex-US Large Cap and Emerging Markets faced declines of 7.4% and 7.8%, respectively. This downturn was attributed to political instability in countries like France and Germany, as well as uncertainty surrounding potential US tariffs. The divergence in performance extended to small-cap stocks as well, with the Russell 2000 Index experiencing a slight increase of 0.3%, while the Developed ex-US Small Cap Index declined by 7.8%.
As per the report, Russell Investments’ global factor portfolios showed varied performance during the quarter. Meanwhile, the Global Large Cap Growth and Momentum portfolios outperformed their benchmarks with excess returns of 2.5% and 1.1%, respectively. On the other hand, the Global Large Cap Low Volatility, Size, Value, and Quality portfolios underperformed, with excess returns ranging from -1.4% to -0.2%. This marked a shift from the previous quarter, where Value and Low Volatility were the top performers.
Moreover, the performance of factor portfolios varied across regions. Meanwhile, the Momentum and Growth factors showed consistent outperformance across US and non-US markets, with Momentum delivering excess returns between +0.1% and +2.1%. However, Growth underperformed in Emerging Markets. On the other hand, the Low Volatility factor underperformed in all regions except Emerging Markets, where it outperformed by +1.0%.
With that let’s take a look at the 10 worst-performing large-cap stocks to buy according to analysts.
A Wall Street trading desk monitoring the performance of large-cap growth stocks.
Our Methodology
To curate the list of 10 worst-performing large-cap stocks to buy according to analysts, we used the Finviz stock screener. We aggregated a list of large-cap stocks that have performed negatively over the past year, however, analysts still see upside potential over the next 12 months. Next, we cross-checked the analyst upside potential of each stock from CNN and ranked these stocks in ascending order of analysts’ upside potential. We have also added the number of hedge funds holding each stock, sourced from Insider Monkey’s Q4 2024 database. Please note that the data was collected on February 28th, 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10 Worst Performing Large Cap Stocks to Buy According to Analysts
10. Nucor Corporation (NYSE:NUE)
Market Capitalization: $30.91 Billion
1-Year Performance: -27.91%
Number of Hedge Fund Holders: 51
Analyst Upside Potential: 10.57%
Nucor Corporation (NYSE:NUE) is a company that primarily manufactures steel and various steel products. It produces different types of steel, such as sheet steel, plate steel, structural steel, and bar steel. Moreover, through its Raw Materials Segment, it produces direct reduced iron (DRI) and handles the trading of metals like iron and pig iron. The company sets itself apart by its data center racks and industrial garage doors.
During the fiscal fourth quarter of 2024, Nucor Corporation (NYSE:NUE) reported a revenue of $7.08 billion, indicating an 8% decline compared to the same period in 2023. Despite this decrease, the company exceeded analysts’ revenue expectations by $348 million. The company has been facing challenges due to weakness in steel demand, which contributed to the revenue decline. The management has noted that the market conditions have begun to improve now.
Nucor Corporation (NYSE:NUE) is positioned to benefit from several steel-intensive megatrends in the US economy. As one of the largest and most diversified steel producers in the country, the company is well-placed to capitalize on these opportunities as market conditions strengthen further in 2025. Due to a price drop of 27%, the company ranks as one of the worst-performing large-cap stock to buy according to analysts.
9. PPG Industries, Inc. (NYSE:PPG)
Market Capitalization: $40.76 Billion
1-Year Performance: -18.85%
Number of Hedge Fund Holders: 36
Analyst Upside Potential: 14.82%
PPG Industries, Inc. (NYSE:PPG) specializes in creating and distributing a wide range of paints, coatings, and specialty materials. They operate through two main divisions: Performance Coatings and Industrial Coatings. It serves a broad customer base across the construction, consumer products, industrial, and transportation sectors. The company operates through several well-known brands like Glidden, Olympic, and Dulux.
On February 12, Jeffrey Zekauskas, an analyst at J.P. Morgan assigned a Hold rating for the stock with a price target of $115. The analyst noted that the company is experiencing difficulties in the automotive sector, where it is losing market share. This is a significant concern as the auto industry is a major consumer of PPG’s coatings and materials. Moreover, the European construction market, another key sector for PPG, is facing challenges. This impacts PPG’s sales and profitability in the region.
During the fiscal fourth quarter of 2024, PPG Industries, Inc. (NYSE:PPG) divested its silica products and architectural coatings businesses in the US and Canada. This was a strategic move to improve the company’s overall margin and growth profile, creating a more focused and efficient organization. It is one of the worst-performing large-cap stocks to buy according to analysts.
Carillon Eagle Growth & Income Fund stated the following regarding PPG Industries, Inc. (NYSE:PPG) in its Q2 2024 investor letter:
“PPG Industries, Inc. (NYSE:PPG) shares lagged in the second quarter as softening macroeconomic data across several of its end markets (including autos, housing, and industrial) drove concerns that the path to sustainable sales volume growth was growing more difficult.”
8. Dow Inc. (NYSE:DOW)
Market Capitalization: $25.38 Billion
1-Year Performance: -31.67%
Number of Hedge Fund Holders: 48
Analyst Upside Potential: 15.46%
Dow Inc. (NYSE:DOW) oversees The Dow Chemical Company and its subsidiaries which produces a wide range of materials and chemicals that are used in various industries such as packaging, construction, electronics, and consumer goods.
On February 11, Vincent Andrews from Morgan Stanley maintained a Hold rating on the stock with a target price of $43. The hold rating by the analyst came in as a result of the challenges it faces in the European market. Dow Inc. (NYSE:DOW) is conducting a strategic review of its European polyurethane assets due to high costs and uncertain demand recovery in the region. Andrews suggests that this review might lead to divestments or other strategic actions to optimize operations. Moreover, the company also expects that about 20% of European demand may not return to pre-conflict levels, which necessitates reassessing its assets in the region. Andrew believes this could potentially reduce the company’s mid-cycle EBITDA by approximately $500 million, impacting its overall financial performance. It is one of the worst-performing large-cap stocks to buy according to analysts.
7. Westlake Corporation (NYSE:WLK)
Market Capitalization: $13.94 Billion
1-Year Performance: -18.26%
Number of Hedge Fund Holders: 34
Analyst Upside Potential: 17.54%
Westlake Corporation (NYSE:WLK) is an international company that makes essential materials and products used in various industries. It operates through two main segments including Performance and Essential Materials where the company produces chemicals like polyethylene and vinyls, which are crucial for making plastics used in packaging, medical devices, and automotive parts. Secondly, it operates the Housing and Infrastructure Products segment where the company focuses on building materials such as PVC pipes, siding, windows, and roofing.
Westlake Corporation (NYSE:WLK) faced some challenges during the fiscal year 2024 as highlighted by the Q4 2024 results. The company reported a year-over-year decline of 3% in net sales for the year, despite a 7% increase in sales volumes. This decline was due to a 10% drop in average sales prices, particularly for core vinyls and epoxy resin. This decline led to Mizuho lowering the firm’s target on the stock from $155 to $132 while maintaining an Outperform rating.
In terms of the quarterly performance, the company saw year-over-year sales volume and EBITDA growth in both its segments. The Housing and Infrastructure Products segment experienced a strong 7% sales volume growth, driven by demand for pipe, fittings, siding, and trim. Whereas the Performance and Essential Materials segment reported a 1% volume growth, driven by export demand and higher polyethylene production. Westlake Corporation (NYSE:WLK) remains one of the strong market shareholders in North America, aided by a diverse product portfolio and a globally advantageous feedstock position. It is one of the worst-performing large-cap stocks to buy according to analysts.
6. James Hardie Industries plc (NYSE:JHX)
Market Capitalization: $13.38 Billion
1-Year Performance: -21.59%
Number of Hedge Fund Holders: 5
Analyst Upside Potential: 18.55%
James Hardie Industries plc (NYSE:JHX) makes building materials, primarily from fiber cement and fiber gypsum. It manufactures a variety of building materials like siding, interior linings, and backer boards. These products are used both inside and outside buildings. The company operates internationally with its geographic reach expanding to North America, Asia Pacific, and Europe.
James Hardie Industries plc (NYSE:JHX) has been facing a series of challenges ranging from subdued consumer demand in North America to inflation in raw material prices especially pulp and cement, which has put pressure on the company’s margins. As a result of these headwinds, the company during its fiscal third quarter of 2025 reported net sales of $953 million, down 3% compared to the previous year’s record third quarter. The adjusted EBITDA margins also decreased slightly by 120 basis points. Management noted they are managing to mitigate the impact of lower volumes and higher raw material costs through cost control and efficiency measures.
Despite these challenges, analysts have a positive outlook for James Hardie Industries plc (NYSE:JHX) as on February 24, Jefferies analyst Ramoun Lazar maintained a Buy rating on the stock with a price target of A$60. It is one of the worst-performing large-cap stocks to buy according to analysts.
5. Vale S.A. (NYSE:VALE)
Market Capitalization: $41.23 Billion
1-Year Performance: -30.10%
Number of Hedge Fund Holders: 36
Analyst Upside Potential: 27.25%
Vale S.A. (NYSE:VALE) is a prominent Brazilian company primarily involved in the mining and production of metals. It extracts and processes various minerals such as iron ore, nickel, copper, gold, silver, and cobalt. The company is recognized as the world’s largest producer of iron ore and nickel.
Vale S.A. (NYSE:VALE) reported results for the fiscal fourth quarter of 2024, indicating some challenges and operational achievements. Its revenue for the quarter decreased 22% year-over-year to $10.1 billion, mainly due to the lower iron ore prices. This also resulted in the stocks falling around 30% over the past year. However, regardless of the challenges due to iron ore prices, the company achieved its highest iron ore production since 2018, reaching 328 million tons in 2024. This was driven by operational stability and strategic project startups. In addition, Vale S.A. (NYSE:VALE) also set a new record for copper production at its Salobo site, highlighting its success in base metals. It is one of the worst-performing large-cap stocks to buy according to analysts.
White Falcon Capital Management stated the following regarding Vale S.A. (NYSE:VALE) in its Q4 2024 investor letter:
“While this uncertainty in Brazil has prompted many investors to offload Brazilian stocks, we’ve taken advantage of this environment to establish a position in Vale S.A. (NYSE:VALE). Vale is among the world’s largest and lowest-cost iron ore producers and boasts a growing portfolio of high-demand copper and nickel assets. It is currently trading at a P/E of 5.3x with a 8% dividend yield.”
4. Martin Marietta Materials, Inc. (NYSE:MLM)
Market Capitalization: $28.65 Billion
1-Year Performance: -18.10%
Number of Hedge Fund Holders: 54
Analyst Upside Potential: 32.47%
Martin Marietta Materials, Inc. (NYSE:MLM) provides materials used in construction and infrastructure projects. It supplies aggregates like crushed stone, sand, and gravel. These are essential for building roads, sidewalks, and foundations. It also produces cement, ready-mixed concrete, and asphalt, which are used in construction projects.
On February 13, Raymond James lowered the firm’s price target on the stock from $630 to $600, while maintaining its Outperform rating. The firm noted that the company faces uncertainty in residential and light non-residential construction markets, which could impact its sales volumes. However, regardless of the challenges the firm sees strong momentum in heavy non-residential construction and public infrastructure projects.
During Q4 2024, Martin Marietta Materials, Inc. (NYSE:MLM) achieved record aggregate financial performance despite challenges from adverse weather, tighter monetary policies, and a slowdown in private construction. Its gross profit reached $489 million, whereas aggregates gross profit per ton rose by 12% to $7.92. It is one of the worst-performing large-cap stocks to buy according to analysts.
Alger Spectra Fund stated the following regarding Martin Marietta Materials, Inc. (NYSE:MLM) in its Q2 2024 investor letter:
“Martin Marietta Materials, Inc. (NYSE:MLM), a leading supplier of building materials such as aggregates, cement, ready-mixed concrete, and asphalt, serves the construction and infrastructure industries across the U.S., Canada, and the Bahamas. During the quarter, the company reported mixed fiscal first quarter operating results, where revenues came in slightly below analyst estimates. While the company noted that lower-than-expected shipments in aggregates was due largely to weather, a 13% increase in aggregate pricing starting in January 2024 helped offset this weakness. Moreover, management provided lower than expected 2024 aggregates volume guidance as they shift their focus on higher priced projects. Given the disappointment in projected aggregate volumes, shares detracted from performance during the quarter.”
3. POSCO Holdings Inc. (NYSE:PKX)
Market Capitalization: $14.04 Billion
1-Year Performance: -43.54%
Number of Hedge Fund Holders: 19
Analyst Upside Potential: 34.95%
POSCO Holdings Inc. (NYSE:PKX), is a South Korean company primarily focused on steel production. It is recognized as one of the largest steel manufacturers globally and provides various steel products like hot-rolled and cold-rolled steel, stainless steel, and wire rods. Moreover, the company also ventures into power generation, information technology services, and eco-friendly initiatives like renewable energy and lithium processing for batteries.
The company has been facing issues related to weak domestic and international markets, and oversupply of steel from China. As a result, the company faced notable challenges in 2024. Its sales dropped by 5.8% during the year to KRW 72.688 trillion, whereas net profit fell by 48.6% to KRW 948 billion. This has resulted in the stock falling around 43% over the past year.
However, analysts’ sentiment suggests POSCO Holdings Inc. (NYSE:PKX) is poised for growth in 2025. The company during fiscal fourth quarter 2024 earnings release indicated its steps towards global expansion. It reported signing an agreement with India’s JSW for collaboration in steel, batteries, and energy. Moreover, the company also invested in lithium production plants in Argentina, Korea, and other regions. It is one of the worst-performing large-cap stocks to buy according to analysts.
2. Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN)
Market Capitalization: $74.87 Billion
1-Year Performance: -28.90%
Number of Hedge Fund Holders: 68
Analyst Upside Potential: 43.11%
Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) is a biotechnology company that develops medicines to treat serious diseases. It manufactures and sells treatments for conditions like eye diseases, cancer, allergies, heart and metabolic issues, neurological disorders, infectious diseases, and other rare conditions. Its strategic edge lies in the use of advanced technologies including platforms like VelociSuite that help design fully human antibodies and innovative therapies more efficiently.
On February 25, the company received a buy rating from Canaccord Genuity’s analyst John Newman. The analyst kept his price target of $1,152 while noting that Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) has a strong pipeline and is making strategic advancements, particularly related to its gene therapy, DB-OTO. The investigational gene therapy has shown significant improvements in hearing for children with profound genetic deafness caused by otoferlin mutations. Moreover, Clinical trials demonstrated measurable gains in hearing through Pure Tone Audiometry (PTA) and Auditory Brainstem Response (ABR), with some children achieving near-normal hearing levels. The therapy also has a favorable safety profile, with no drug-related adverse events reported.
Beyond DB-OTO, the company’s pipeline includes programs like the Factor XI initiative, which is expected to support revenue stability amidst competitive pressures on existing products like EYLEA. It is one of the worst-performing large-cap stocks to buy according to analysts.
Amalthea Fund stated the following regarding Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) in its Q3 2024 investor letter:
“Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) – the biggest loser in the book by absolute dollars. Regeneron is a large position for us. We wrote the position up in June 2021 letter. The stock has almost doubled since the original write-up, but it is down on the month. Allow some time for an explanation There are two ways of looking at Regeneron. The sum-of-the-parts way and the platform way.
Regeneron has 11 approved drugs but two comprise most of the cash flows. The two are Eylea and Dupixent.
Eylea is a VEGF drug that is injected into patients’ eyes and stops macular degeneration (the main cause of blindness in old people). The drug stops capillaries growing in the retina…” (Click here to read the full text)
1. Suzano S.A. (NYSE:SUZ)
Market Capitalization: $11.94 Billion
1-Year Performance: -17.23%
Number of Hedge Fund Holders: 13
Analyst Upside Potential: 46.16%
Suzano S.A. (NYSE:SUZ) is a Brazilian forestry company that is considered one of the largest producers of eucalyptus pulp and paper in the world. It focuses on using planted eucalyptus forests to create sustainable products. The company operates through two main segments namely the Pulp and Paper Segment.
During the fiscal third quarter of 2024, the company expanded its business by strategically acquiring a 15% stake in Lenzing and US-based packaging assets from Pactiv Evergreen. Moreover, the company has been growing its sales across both business segments. In the fiscal fourth quarter of 2024, Suzano S.A. (NYSE:SUZ) grew its pulp sales by 19% year-over-year, whereas paper sales grew by 11% during the same time. As a result, its net revenue rose 37% year-over-year to reach $14.177 billion.
The company has faced some headwinds due to a 15% decline in pulp prices in China, however, management noted the prices have now stabilized. The stock has declined around 17% over the past year, however, analysts see a 46% upside potential, making it the worst-performing large-cap stock to buy according to analysts.
While we acknowledge the potential of Suzano S.A. (NYSE:SUZ) to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than SUZ but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.
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