Skypeople Fruit Juice Inc. (SPU), Lands’ End Inc. (LE) & Others: Why These Losers Are Dragging Down the Market

The markets continue to trade down in anticipation of the upcoming OPEC meeting. Another important factor affecting the markets today is the upcoming first presidential debate, which will be held tonight. The market is also being pulled down by several stocks showing strong downward movements.

Among those major losers are Skypeople Fruit Juice Inc. (NASDAQ:SPU), Lands’ End Inc. (NASDAQ:LE), Acorda Therapeutics Inc (NASDAQ:ACOR), Acacia Communications Inc. (NASDAQ:ACIA), and Himax Technologies Inc. (ADR) (NASDAQ:HIMX). In this article, we’ll look at the news which has set these stocks on a course of serious tumbling, while seeing what hedge funds thought of them during the most recent quarter.

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Skypeople Fruit Juice Inc. (NASDAQ:SPU) resumed trading on the Nasdaq today, and it’s been anything but a triumphant return for the equity, as the stock has plunged by 15.80%. Trading of Skypeople Fruit Juice  was halted on September 20 until the company provided “additional information requested” by Nasdaq. A few days later, the company announced that it was changing independent auditors. Despite today’s slide, shares of the beverage company are up by 52% this year. Among the funds that we track, just two were long Skypeople Fruit Juice on June 30, owning $670,000 of the company’s stock.

Lands’ End Inc. (NASDAQ:LE) shares have been battered to the tune of 14% losses on the news of the company’s CEO resigning. Frederica Marchionni left her post after less than two years on the job, with the company giving no reason for the resignation. Lands’ End has posted lagging sales and profit for several quarters. Marchionni, who was recruited from Dolce & Gabbana to lead Lands’ End, said in a statement that “The Board of Directors and I have agreed it is time for others to bring Lands’ End into the future.” The number of funds in our database long Lands’ End Inc. (NASDAQ:LE) stood at ten as of June 30, with their holdings valued at $166 million and representing 31.70% of the company’s outstanding stock.

We’ll check out three more stocks that are making their shareholders very unhappy today on the next page.

Acorda Therapeutics Inc (NASDAQ:ACOR) stock has plunged to its 52-week low of $22.98 today, sliding by over 15% after an Arbitral Tribunal appointed by the Redemption Committee of the Finland Chamber of Commerce confirmed the company’s right to redeem its minority shares in Biotie Therapies Corp (OTCMKTS:BIOZF), which has ceased trading. Acorda announced the acquisition of Biotie in mid-January and launched a compulsory redemption proceeding in April. 21 hedge funds in our database had positions in Acorda Therapeutics Inc (NASDAQ:ACOR) with a total value of $300 million as of the end of June.

Acacia Communications Inc. (NASDAQ:ACIA) stock has tumbled by 9.37% on the news of a stock offering of up to $450 million in stock, $325 million of which is to be offered by selling shareholders. The company also issued solid third quarter guidance of $127 million-to-$131 million in revenue and GAAP diluted earnings per share of $0.58-to-$0.67. A stock offering isn’t surprising given the outstanding performance of the security this year, which has gained 250% since its IPO in mid-May. Six hedge funds that we track held about $73 million of Acacia Communications Inc. (NASDAQ:ACIA)’s stock at the end of June.

Himax Technologies Inc. (ADR) (NASDAQ:HIMX) was downgraded by analysts at Nomura, sending its stock down by 18% in today’s session. Nomura cut its rating on Himax to ‘Neutral’ from ‘Buy’ and also slashed its price target on the stock to $10.20 from $12. The downgrade comes shortly after an upgrade from Nomura in July, which was excited about the company’s growth potential in the augmented reality space. However, with shipments of Microsoft Corporation (NASDAQ:MSFT)’s HoloLens, for which it provides components, coming in below expectations according to Nomura’s checks, it now believes it’s too early to buy the stock. 24 hedge funds in our database were long Himax Technologies Inc. (ADR) (NASDAQ:HIMX) at the end of June.

Disclosure: None