The markets are firmly in the red today as investors worry about dwindling consumer confidence heading into the holiday season, after a Bloomberg survey showed a steep drop in confidence this month. The markets are also mulling over the prediction from Caterpillar Inc. (NYSE:CAT) that global economic growth will remain subdued in 2017, at around 2.5%.
In this article, we’ll take a look at five stocks that are taking it on the chin along with the broader market this morning. After running through the news affecting each of those five stocks, we’ll take a look at how hedge funds have been trading them at the end of the article.
Through extensive research that covered the portfolios of several hundred large investors between 1999 and 2012, we determined that following the small-cap stocks that large money managers are collectively bullish on, can generate monthly returns nearly 1.0 percentage points above the market (see the details).
BlackBerry Ltd (NASDAQ:BBRY)’s Swan Song Elicits Yawns
BlackBerry Ltd (NASDAQ:BBRY) officially released the DTEK60 this morning, after a preorder page for the device was prematurely launched earlier this month. The 5.5″ Android phone, which will retail for $499, will be the Canadian company’s last, as it shifts its focus to software. BlackBerry is not planning on leaving the hardware business meekly, however, as it believes that it has created a device that rivals the iPhone 7 Plus and Google Pixel XL in terms of hardware, while packing in BlackBerry’s vaunted security features, including a new feature that will guard the device against counterfeiting. BlackBerry-branded devices will still be made by third-party companies, and Blackberry also hasn’t ruled out helping to develop another device with a physical keyboard. BlackBerry shares are off by 1% this morning.
Corbus Pharmaceuticals Holdings Inc. (NASDAQ:CRBP) Gets Attacked By A Bear
Corbus Pharmaceuticals Holdings Inc. (NASDAQ:CRBP) is getting clobbered to the tune of a 22% loss following a bearish article posted by The Street this morning. According to the article’s author Adam Feuerstein, his most reliable source when it comes to biotech investing, which happens to be a fund manager, believes the stock is headed for a fall (talk about a self-fulfilling prophecy). Feuerstein claims that the unnamed source is of the belief that Corbus’ only drug candidate, resunab, is bound for failure. The treatment has previously proved ineffective for combating pain, but Corbus has since redefined it as a drug that could fight inflammation and fibrosis. The source believes the company’s data to back up those claims is “weak and inconsistent”, and is shorting the stock ahead of the top-line results from a mid-stage trial of the drug being released later this quarter.
Head to the end of this article to see what the funds that we track think of Corbus. On the next page we’ll check out the news concerning three more stocks as well as analyze the recent hedge fund trading activity in the stocks featured in this article.