In this article, we discuss the 5 Reddit YOLO stocks that are losing ground. If you want to read our detailed analysis of these stocks, go directly to the 10 Reddit YOLO Stocks That Are Losing Ground.
5. Five9, Inc. (NASDAQ: FIVN)
Number of Hedge Fund Holders: 45
Percentage Loss in Past Five Days: 7.3%
Five9, Inc. (NASDAQ: FIVN) is ranked fifth on our list of 10 Reddit YOLO stocks that are losing ground. The company markets cloud software for contact centers and operates from California.
On August 18, investment advisory UBS downgraded Five9, Inc. (NASDAQ: FIVN) stock to Neutral from Buy with a price target of $200, noting that discussions had revealed that the enterprise demand for the services offered by the firm were slowing.
At the end of the second quarter of 2021, 45 hedge funds in the database of Insider Monkey held stakes worth $2.1 billion in Five9, Inc. (NASDAQ: FIVN), the same as in the preceding quarter worth $1.6 billion.
In its Q1 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Five9, Inc. (NASDAQ: FIVN) was one of them. Here is what the fund said:
“Five9 is a cloud-based contact center as a service software provider that is replacing aging on-premise legacy solutions that dominate the installed base. Companies are being forced to modernize and cloud penetration is still low; Five9 is positioned to benefit and should see further growth driven by its cross-selling add-on modules and an AI product that generates high revenue.”
4. Lannett Company, Inc. (NYSE: LCI)
Number of Hedge Fund Holders: 14
Percentage Loss in Past Five Days: 8.2%
Lannett Company, Inc. (NYSE: LCI) is a Pennsylvania-based firm that makes and sells generic versions of brand pharmaceutical products. It is placed fourth on our list of 10 Reddit YOLO stocks that are losing ground.
In earnings results for the fourth fiscal quarter, posted on August 25, Lannett Company, Inc. (NYSE: LCI) reported earnings per share of -$0.19, missing market estimates by $0.07. The revenue over the period was $106 million, missing estimates by over $4 million.
Out of the hedge funds being tracked by Insider Monkey, New York-based investment firm DE Shaw is a leading shareholder in Lannett Company, Inc. (NYSE: LCI) with 1.9 million shares worth more than $9 million.
3. Zoom Video Communications, Inc. (NASDAQ: ZM)
Number of Hedge Fund Holders: 59
Percentage Loss in Past Five Days: 12%
Zoom Video Communications, Inc. (NASDAQ: ZM) is a California-based firm that owns and operates a video communications platform. It is ranked third on our list of 10 Reddit YOLO stocks that are losing ground.
On August 31, investment advisory KeyBanc maintained an Overweight rating on Zoom Video Communications, Inc. (NASDAQ: ZM) stock but lowered the price target to $398 from $428, noting the revision took into account elevated churn risk.
Out of the hedge funds being tracked by Insider Monkey, New York-based firm Tiger Global Management LLC is a leading shareholder in Zoom Video Communications, Inc. (NASDAQ: ZM) with 4.2 million shares worth more than $1.6 billion.
In its Q1 2021 investor letter, Artisan Partners, an asset management firm, highlighted a few stocks and Zoom Video Communications, Inc. (NASDAQ: ZM) was one of them. Here is what the fund said:
“We concluded our campaigns in Zoom Video Communications. We have been paring our position in Zoom for several quarters, anticipating the reduced need for video conferencing as vaccination rates climb and people return to their workplaces. That said, we believe there is a strong case to be made that the pandemic has prompted a permanent inflection in videoconferencing’s importance—sustainably higher remote work arrangements, more online learning and less business travel. Furthermore, the company’s dramatically expanded user base (up 485% YoY in Q3) positions it well to cross sell additional services, Zoom Phone in particular. The long-term future remains bright, but we decided to end our successful investment campaign in favor of opportunities in our pipeline with more attractive near-term growth prospects.”
2. Torrid Holdings Inc. (NYSE: CURV)
Number of Hedge Fund Holders: N/A
Percentage Loss in Past Five Days: 15%
Torrid Holdings Inc. (NYSE: CURV) is placed second on our list of 10 Reddit YOLO stocks that are losing ground. The company markets plus-size apparel for women and is headquartered in California.
On July 26, investment advisory Morgan Stanley initiated coverage of Torrid Holdings Inc. (NYSE: CURV) stock with an Overweight rating and a price target of $28, noting the firm was the largest retailer of plus-size apparel for women in the US.
Torrid Holdings Inc. (NYSE: CURV) has a market cap of $2.6 billion and a forward PE of 31.63. The company debuted on the stock market in the US in early July, fetching a valuation of $2.5 billion at the end of the first day of trading.
1. Regis Corporation (NYSE: RGS)
Number of Hedge Fund Holders: 8
Percentage Loss in Past Five Days: 16%
Regis Corporation (NYSE: RGS) is ranked first on our list of 10 Reddit YOLO stocks that are losing ground. The firm owns and operates hairstyle salons and is headquartered in Minnesota.
In earnings results for the fourth fiscal quarter, posted on August 25, Regis Corporation (NYSE: RGS) reported earnings per share of -$0.74, missing market estimates by $0.63. The revenue over the period was $99 million, beating estimates by $6 million.
Out of the hedge funds being tracked by Insider Monkey, New York-based investment firm Royce & Associates is a leading shareholder in Regis Corporation (NYSE: RGS) with 1.8 million shares worth more than $17.6 million.
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