We recently published a list of 15 Stocks That Took a Nosedive in January. In this article, we are going to take a look at where Edison International (NYSE:EIX) stands against other stocks that took a nosedive in January.
Historically, the S&P 500’s performance in January sets the pace for the rest of the year. According to Jared Blikre, Yahoo Finance Markets Editor, the S&P 500 returned nearly 17% in January, which is pretty impressive because a positive January usually translates as a positive year for the markets. Jared also added that while the energy and utilities sectors are lagging, the communication services and healthcare segments are showing signs of strength.
At the same time, while the S&P 500 remained positive at the end of January, some stocks declined due to various reasons especially the launch of the Chinese OpenAI rival, DeepSeek, and new regulations amid the new administration.
15 companies in diverse sectors such as the financials, biotechnology, healthcare, technology, and energy industries, declined due to unsupportive market conditions, macroeconomic environment, and other factors. That said, let’s take a look at the 15 stocks that took a nosedive in January.
To come up with the 15 names, we only considered stocks with a market capitalization of more than $2 billion. We then shortlisted the stocks based on their performance in the past quarter and picked the 15 with the largest 30-day decline from January 3, 2024, to February 3, 2025.
At Insider Monkey we are obsessed with 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 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A wide aerial view of an electric power transmission facility with lines, substations, and overhead wires.
Edison International (NYSE:EIX)
30-day Decline as of February 3, 2025: 32.3%
Edison International (NYSE:EIX) is one of the stocks that nosedived in January, declining by more than 32%. The stock had a share price of $79.8 on January 3, which declined to $54 on February 3. The stock experienced a major decline in investor sentiment in the first month of 2025.
Edison International (NYSE:EIX) is an electric power distribution company that provides clean and reliable energy and energy services through its subsidiaries. On January 23, Nicholas Campanella, an analyst at Barclays, lowered his price target on the firm from $76 to $67, keeping an overweight rating on the stock, following its Q4 earnings. At the same time, the analyst suggests that the market cap loss for the firm due to wildfires is excessive and overdone.
On the same day, analyst firm, Guggenheim, downgraded the stock from a buy rating to a neutral rating, lowering its price target to $60 from $91. The analyst firm suggested that the group is oversold and undervalued, with opportunities to outperform in 2025. In addition to that, the firm believes that the sector is set to offer growth at a reasonable price.
Overall, EIX ranks 7th on our list of stocks that took a nosedive in January. While we acknowledge the potential of EIX to grow, our conviction lies in the belief that certain 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 EIX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
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