Ten stocks ended the trading session in a lackluster performance, bucking an overall market optimism ahead of the Thanksgiving holiday.
On Wall Street, all major indices finished in the green, led by the Nasdaq by 0.82 percent, followed by the S&P 500, rising 0.69 percent, and the Dow Jones, growing 0.67 percent.
In this article, we focus on the 10 worst performers on Wednesday and break down the reasons behind their drop.
To come up with the list, we considered only the stocks with a $2 billion market capitalization and more than 5 million shares in trading volume.
Stock market charts. Photo by Kaboompics.com on Pexels
10. BigBear.ai Holdings Inc. (NYSE:BBAI)
BigBear dropped its share prices by 2.75 percent on Wednesday to close at $6.02 apiece as investors continued to take profits following a double-digit surge earlier this week.
Wednesday’s session marked its second day of decline amid profit-taking, following an easy 16 percent gain on Monday over news that it was expanding its operations in Malaysia.
According to BigBear.ai Holdings Inc. (NYSE:BBAI), it signed a memorandum of understanding with Pahang Aerospace City Development Berhad and its established partners, Easy Lease, and Vigilix Technology Investment LLC, to accelerate the development and integration of advanced technologies throughout the Pahang Aerospace City (PAC).
BigBear.ai Holdings Inc. (NYSE:BBAI) will support the initiative through offering solutions on AI-driven border operations to help advance regional and international security.
“By integrating mission-ready AI, predictive analytics, and secure orchestration technologies, together we can help Malaysia build a first-of-its-kind aviation, transit, and space ecosystem that strengthens both national economic growth and regional security,” said BigBear.ai Holdings Inc. (NYSE:BBAI) CEO Kevin McAleenan.
“This collaboration represents an exciting step forward for innovation and for BigBear.ai’s engagement in Southeast Asia,” he added.
PAC is a significant gateway for air, land, and sea passenger transport, and its development is expected to attract more domestic and foreign investments.
9. iQIYI Inc. (NASDAQ:IQ)
iQIYI snapped a two-day rally on Wednesday, shedding 3.15 percent to finish at $2.15 apiece as investors unloaded portfolios following caution from an investment firm that Chinese stocks would continue to face volatility over the next few months.
In a market note, BCA Research underscored the global selloffs in Chinese stocks in November, which dented even the heavy gainers in the Chinese technology sector.
According to the research firm, cautious sentiment lingered over the massive spending on artificial intelligence, intensifying pressure on Chinese stocks.
“Chinese equities are less overbought after the recent pullback, but remain vulnerable to global risk-off sentiment and a softer world economy,” the research said.
Additionally, the Chinese economy sharply weakened in the fourth quarter of the year amid the noticeable slowdown in exports.
In other recent news, iQIYI Inc. (NASDAQ:IQ) swung to an attributable net loss of 248.9 million yuan in the third quarter of the year from an attributable net income of 229.4 million yuan in the same period last year.
This followed a 121.8 million operating loss during the period, reversing a 238.9 million operating income.
Revenues also fell by 8 percent to 6.68 billion yuan from 7.24 billion yuan year-on-year.
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