10 Worst Performing Stocks to Buy on the Dip

2) Sasol Limited (NYSE:SSL)

Average Upside Potential: 67.63%

% Fall on a YTD Basis: ~32%

Number of Hedge Fund Holdings: 11

Sasol Limited (NYSE:SSL) operates as a chemical and energy company in South Africa and internationally.

Sasol Limited (NYSE:SSL)’s stock witnessed a significant decline in the recent past as a result of a challenging macro environment, stemming from lower oil prices and weaker demand. These measures have impacted its cash generation and profitability. The downstream units in the Chems Americas segment have been witnessing demand below expectations. Also, the gas depletion in Southern Africa continues to pose a supply challenge for Sasol Limited (NYSE:SSL). The company’s stock was pressured because of logistic challenges, which impacted the Synfuels product mix.

On the other hand, market experts and Wall Street believe that Sasol Limited (NYSE:SSL)’s stock is well-positioned for a revival as a result of increased production and sales volumes. While the focus is on operational efficiency, cost and capital management, and portfolio optimization, Sasol Limited (NYSE:SSL) highlighted that its initiatives to improve mining productivity, operational stability, and asset utilization remain in place.

The company achieved ZAR16 billion in EBITDA enhancements from the Sasol 2.0 transformation program and continues to target an additional ZAR2-4 billion in FY 2025. Sasol Limited (NYSE:SSL) continues to explore renewable energy projects and LNG supply options. Over the medium term, the company has kept its focus on maintaining performance while scaling transformation opportunities. Its stock price growth should be aided by its long-term goals, which include optimizing and transforming the portfolio with a clear focus on sustainability.

As per Insider Monkey’s Q2 2024 data of 912 hedge funds, 11 hedge funds reported owning stakes in Sasol Limited (NYSE:SSL).