The stock market ended the trading week in the green territory, with all major indices gaining more than 1 percent after slipping into the negative territory at intra-day trading following a clash between US President Donald Trump and Ukrainian leader Volodymyr Zelensky at the White House.
Following the televised meeting, the two leaders concluded the encounter without a deal for joint development of mineral resources.
The Dow Jones jumped by 1.39 percent, the S&P 500 surged by 1.59 percent, and the Nasdaq soared by 1.63 percent.
Ten companies bucked a broader market optimism, with three stocks heavily battered by disappointing earnings results, losing more than 20 percent in their valuations.
In this article, we have detailed the reasons behind their weak performance.
To come up with Friday’s worst performers, we considered only the stocks with $2 billion in market capitalization and $5 million in daily trading volume.
Stock market data on a laptop screen. Photo by Alesia Kozik on Pexels
10. Teleflex Inc. (NYSE:TFX)
Teleflex dropped for a second day on Friday, losing 4.57 percent to finish at $132.75 apiece as investors turned cautious following a series of news that included the company’s plan to split into two businesses, the resignation of an executive, and a shareholder law firm’s investigation into the company.
According to TFX, its board of directors has approved pursuing a plan to separate its Urology, Acute Care, and OEM businesses into a new publicly traded company called NewCo through the distribution of newly issued shares of NewCo to shareholders.
Meanwhile, the soon-to-be-separated RemainCo is expected to be “well-positioned to accelerate growth in attractive, primarily hospital-focused, emergent end markets, with a simplified operating model, streamlined manufacturing footprint and increased management focus.”
Separately, a shareholder law firm said it kicked off a probe into the stock’s sudden 20-percent drop to determine possible violations of federal securities laws.
9. The Mosaic Company (NYSE:MOS)
Mosaic dropped its share prices by 4.66 percent on Friday to finish at $23.92 apiece as investors’ sentiment was weighed down by its disappointing earnings performance last year.
In its latest earnings release, MOS said net income in the fourth quarter of the year declined by 53.7 percent to $169 million from $365 million in the same period last year, as revenues dropped by 12.5 percent to $2.8 million from $3.2 million.
Meanwhile, net income fell by a whopping 85 percent to $175 million last year from $1.165 billion in 2023, following the negative after-tax impact of notable items totaling $459 million, mainly from foreign exchange losses, partially offset by a gain on sale associated with the Ma’aden transaction.
Revenues similarly dropped by 18.9 percent to $11.1 million from $13.7 million primarily due to the impact of lower selling prices in the Potash and Mosaic Fertilizantes segments.
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