Why These 5 Stocks Are Taking It On the Chin Today

Another decliner on Wednesday is Calavo Growers, Inc. (NASDAQ:CVGW), down by about 7.5% after analysts at DA Davidson downgraded the stock to ‘Neutral’ from ‘Buy’. The firm had upgraded the stock to ‘Buy’ from ‘Neutral’ less than two months ago. Among the investment firms bullish on Calavo Growers, Inc. (NASDAQ:CVGW), we see Point72 Asset Management, which declared holding 136,900 shares of the company as of December 31, as well as Ken Grossman and Glen Schneider’s SG Capital Management, which disclosed ownership of 136,065 shares as of the end of the fourth quarter.

Next up is Rovi Corporation (NASDAQ:ROVI), down by more than 10% on robust volume in Wednesday trading. The tumble appears to be due to the news that AT&T Inc. (NYSE:T)’s plans to start offering Web-based DirecTV service options like DirecTV Now and DirecTV Mobile. In response to the dip, JPMorgan analyst Sterling Auty said the stock made for a good investment and maintained an ‘Overweight’ rating on it, suggesting that investors aren’t seeing the bigger picture.

Glenn W. Welling is probably not very happy with the dip, as his fund, Engaged Capital, held 2.25 million shares of Rovi Corporation (NASDAQ:ROVI), valued at more than $37 million on December 31. Something similar could be assumed of the other 17 firms in our database which disclosed long stakes in the company as of the end of the fourth quarter.

Finally, there’s Monsanto Company (NYSE:MON), which has lost more than 7.5% on Wednesday, after management trimmed its guidance for the ongoing quarter and fiscal year. Citing FX headwinds, growing generic competition and lower grower margins, the team revised its fiscal year 2016 EPS guidance to $3.42-to-$4.29, well below the previous guidance of $4.40-to-$5.10. In addition, CEO Hugh Grant said the company is no longer interested in acquiring Syngenta AG (ADR) (NYSE:SYT), given that the company has agreed to sell itself to ChemChina.

Among the funds that are most likely unhappy with the news, investors can count Larry Robbins’ Glenview Capital, which disclosed ownership of 14.07 million shares of Monsanto Company (NYSE:MON), valued at more than $1.38 billion as of December 31. Other prominent investors at the end of 2015 include SPO Advisory Corp, Eminence Capital, Fir Tree, and D E Shaw.

Disclosure: Javier Hasse holds no positions in any of the securities mentioned in this article.