Hewlett-Packard Company (HPQ), Caterpillar Inc. (CAT), Cisco Systems, Inc. (CSCO): Last Week’s Big Dow Losers

Page 1 of 2

After another wild week, which started as investors worried about the possible collapse of certain European financial intuitions, the Dow Jones Industrial Average‘s managed to fight its way back to almost even on Friday, and close down just 2 points, or 0.01%, for the past five trading sessions. The other major indexes performed slightly worse for the week, as the S&P 500 lost 3.81 points, or 0.24%, while the Nasdaq fell by 4 points, or 0.12%.

As the Dow closed flat for the week, its 30 components were split down the middle, with 15 moving higher and 15 losing ground last week.

Before we hit the Dow losers, let’s look at the index’s big winner of the week: Hewlett-Packard Company (NYSE:HPQ) has been on fire in 2013, and that trend continued this past week, as shares rose another 3.87%. Year to date, the stock is up an astonishing 61.68%, while the Dow itself has risen only 10.74%. Meg Whitman is clearly handling the company’s turnaround very well, and there are no signs that things should change in the future.

One possible negative for Hewlett-Packard Company (NYSE:HPQ) this past week was that shareholders re-elected all of the company’s board members on Thursday. A number of activist investors and shareholder-rights groups had voiced their opinions that the board members, who were involved in the acquisition of Autonomy, should be removed from their position. The Autonomy purchase cost the company more than $10 billion, and recently Hewlett-Packard Company (NYSE:HPQ) decided to write down more than $8 billion of the purchase price.

The big losers
Shares of Caterpillar Inc. (NYSE:CAT) continue to fall on a weekly basis, and after losing 1.52% this past week, the stock has now dropped for the past seven straight weeks. The main culprit for the decline this week was the company’s sales report for the past three months. Caterpillar is one company that reports its sales on a monthly basis to investors, and the report for the rolling three months ending in February was very concerning. Sales fell by 13% in that time frame, compared with a decline of only 4% for the previous three month period which ended in January. Sales in the Asia-Pacific market dropped 26%, making that region of the world Caterpillar Inc. (NYSE:CAT)’s worst-performing market for the February reading.

Shares of Cisco Systems, Inc. (NASDAQ:CSCO), meanwhile, dropped nearly 4% on Thursday alone, and they closed the week down 5.33%. The networking technology stock ended the week as the worst Dow component after its closest competitor reported weak demand. Oracle Corporation (NASDAQ:ORCL) reported earnings on Wednesday evening and announced that it was experiencing a lack of demand in nearly every one of its operating segments.

Cisco Systems, Inc. (NASDAQ:CSCO) was also downgraded by a few Wall Street analysts this week, which certainly helped push shares lower. One downgrade came from FBR Capital, and my Fool colleague Rich Smith recently dug into the rating downgrade and gave his opinion on what investors should do with Cisco moving forward.

Page 1 of 2
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

The 10 Most Peaceful Countries in the World

5 Big Reasons Communism Failed

The 15 Most Famous Carl Icahn Quotes

10 Scary Animals that are Actually Harmless

The 8 Most Famous Singer-Actors in Entertainment

The 10 Longest Wars of All Time

The 13 Worst Looking Foods that Taste Great

The 6 Most Gruesome Injuries Suffered During a Sports Match

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!