January’s Worst Dow Stocks: The Boeing Company (BA), UnitedHealth Group Inc. (UNH), Alcoa Inc. (AA)

Page 1 of 2

It’s been an explosive start to the year for the Dow Jones Industrial Average . Despite all the fears in December over slowing economic growth and the fiscal cliff, the Dow has soared to a gain of more than 3.3% over the course of January to approach new all-time highs.

That doesn’t mean every stock on the Dow has had a great start to the year, however. Two big names on the blue-chip index have failed to capitalize on the bullish run. Let’s see which Dow stocks couldn’t keep pace with the index last month.

The Boeing Company (NYSE:BA)

January’s flawed five
Surprisingly, January’s worst Dow member was 2012′s best blue chip. Despite gaining more than 100% last year, Bank of America Corp (NYSE:BAC) couldn’t keep up the optimism, as shares fell 2.5% in January. The slight contraction in the U.S. economy certainly didn’t help bank stocks earlier this week, and B of A’s earnings contributed to the disappointment. While most analysts had expected a bad quarter, investors still shrank away from the massive blow that B of A’s mortgage business dealt to revenue and profit.

Not to miss out on the losses, The Boeing Company (NYSE:BA)‘s stock also fell in January, down 2% thanks to the problems of the now-infamous 787 Dreamliner earlier in the month. Investors fled the aerospace giant’s shares at the first sign of trouble, but things have progressively gotten worse since then. Now, with investigators pouring over data regarding the plane’s faults, the aircraft fleet’s grounding could go on for months — not what Boeing or its investors wanted to hear about the company’s newest jet. Don’t expect any sort of stability from this stock as the saga goes on; bits of news will likely be enough to send shares bouncing wildly in either direction.

Bank of America and Boeing were the only two Dow stocks to record losses during the first month of 2013, but several other Dow members underperformed the index at large. UnitedHealth Group Inc. (NYSE:UNH)‘s stock managed to rise just 1.8% to rank as the Dow’s third-worst member in January. The company released a decent earnings report in which it grew revenue by more than 11% last quarter while keeping costs down — yet shares fell anyway. Still, with the company looking to increase its stake in Brazilian insurer Amil Participacoes in the first half of this year and adapting fairly well to the new insurer rules from Obamacare, don’t expect UnitedHealth to stay sluggish for too long.

Alcoa Inc. (NYSE:AA) and Verizon Communications Inc. (NYSE:VZ) round out the worst five stocks of the Dow in January, with shares gaining just 1.8% and 2%, respectively, for the month. No investor can complain about that, but with some of the Dow’s other members absolutely crushing the past month (including a stock I wouldn’t recommend to anybody, Hewlett-Packard Company (NYSE:HPQ), which gained nearly 16% in January), Alcoa and Verizon’s gains don’t seem so substantial.

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

The 10 States with the Highest Nursing Shortages Leaving Their Hospitals Depleted

The 10 Best Value Investment Blogs that Every Investor Must Read

The 6 Cheapest Boarding Schools in Europe 2015

The 5 Most Expensive Cars To Insure in the World

The 10 Most Common Genetically Modified Foods

10 Self-Made Billionaires Who Came From Nothing

The 10 Most Expensive Cities to Live in North America

The 13 Most Expensive Headphones in the World to Represent

The Top 20 Wealthiest Soccer Teams in 2014

4 BuzzWorthy Cannabis Stocks And Some Smoking Derivative Plays

The 10 Healthiest Fast Food Chains in America to Dine At

The 5 Most Expensive Cat Food Brands You Can Spoil Your Kitty With

The 6 Best eCommerce Platforms for Small Businesses

The 10 Worst Mistakes an Entrepreneur Can Make

The 5 Most OP Characters in League of Legends to Carry Games and Crush Foes With

The 5 Best Foods to Eat Before Running that Will Help You Pound the Pavement

10 Glaring Plot Holes in The Walking Dead that a Zombie-Filled Bus Could Drive Through

The 5 Biggest Celebrity Stoners Who Love Their Reefer

The 10 Most Overrated Movies Of All Time by Out-of-Touch Critics

Top 6 Least Expensive Cruise Destinations For 2015 that Will Take You to Paradise

10 States with Lowest Substance Abuse Rates in America

The 14 Most Watched TV Finales Ever

The 10 Best Selling Role Playing Games of All Time for PC

10 Most Influential Papers In Economics

Top 8 Biggest Charities in the US

10 Worst Celebrity Career Moves Ever

Top 10 Best Paid Tennis Stars in the World

Top 6 Cities For The Ultra Rich to Live in Comfort

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

How to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

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!