Alcoa Inc (AA), Intel Corporation (INTC), Caterpillar Inc. (CAT): The Dow’s 5 Most Hated Stocks

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DuPont
Why are investors shorting DuPont?

  • Not to sound like a broken record, but once again, blame Europe! DuPont Fabros Technology, Inc. (NYSE:DFT), which relies on its chemicals and agricultural business to drive growth, has seen demand stagnate in Europe because of tight government spending while not seeing the same follow-through from the U.S. and China that it has in the past, with both growing below their historical averages.

Is this short interest warranted?

  • Unfortunately for DuPont Fabros Technology, Inc. (NYSE:DFT) shareholders, a lot depends on whether Europe’s economy improves — at least over the short term. Over the long run, DuPont’s agricultural segment looks poised to prosper as the amount of food needed to feed a growing global population is rising and farmers need better yield from their crops. So yet again, we have a company, like Alcoa Inc (NYSE:AA) and Caterpillar Inc. (NYSE:CAT), that could struggle for a few more quarters but appears to have more long-term upside than downside potential.

Which of the Dow’s most hated companies do you think has the best chance of heading higher? Share your thoughts in the comments section below.

The article The Dow’s 5 Most Hated Stocks originally appeared on Fool.com.

Fool contributor Sean Williams has no material interest in any companies mentioned in this article. You can follow him on CAPS under the screen name TMFUltraLong, track every pick he makes under the screen name TrackUltraLong, and check him out on Twitter, where he goes by the handle @TMFUltraLongThe Motley Fool owns shares of, and recommends, Intel.

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