Wall Street’s main indices ended in a bloodbath on Friday, as investors soured on a flurry of macroeconomic factors such as concerns over a slowing economy and a sticky inflation that tempered buying appetite.
Friday’s finish saw the Dow Jones decline by 1.69 percent, the S&P drop by 1.71 percent, and the tech-heavy Nasdaq nosedive by 2.20 percent.
Ten companies, in particular, were heavily hit, registering mostly double-digit losses on a week-on-week basis.
In this article, we have listed 10 names that performed poorly last week and detailed the reasons behind their declines. Please note that shares performances were based on the companies’ closing prices last Friday, February 21, as against their prices on February 14, or a week earlier.
To come up with last week’s biggest losers, we considered only the stocks with $2 billion in market capitalization and $5 million in daily trading volume.
Stock market reports printed on a sheet of paper. Photo by RDNE Stock Project on Pexels
10. SoundHound AI Inc. (NASDAQ:SOUN)
SoundHound AI dropped its share prices by 6 percent week-on-week to close Friday’s trading at $10.31 apiece versus the $10.97 registered a week earlier as Nvidia Corp.’s exit from the company still lingered among investors.
Last week marks SOUN’s second consecutive week in the red from a $15.6 price on February 7.
Earlier, NVDA submitted a regulatory filing showing its stake positions in various firms. The filing showed a 44-percent reduction in its holdings in British chipmaker Arm Holdings while fully exiting Serve Robotics and SOUN.
NVDA being one of the largest chipmakers supporting the development of AI, its stake positions in several companies became a vote of confidence among investors.
Meanwhile, NVDA’s divestment in SOUN raised investor concern over the future of its growth trajectory, particularly as it was once seen as a promising player in the AI industry.
9. Coinbase Global Inc. (NASDAQ:COIN)
Coinbase dropped its share prices by 14 percent last week, finishing at $235.38 versus the $274.31 registered on February 14 as investors took profits following the company’s stellar earnings performance.
It can be recalled that COIN registered a 373-percent jump in its net income in the last three months of 2024 to $1.29 billion from $273 million in the same period a year earlier as revenues surged by 138 percent to $2.27 billion from $953.7 million.
Meanwhile, net income for the full year 2024 soared by 2,618 percent to $2.579 billion from $94.87 million in 2023, with revenues jumping by 111 percent to $6.564 billion from $3.108 billion.
In recent news, COIN announced that the Securities and Exchange Commission officially dropped a lawsuit that it filed against the company without any penalties. The dismissal came in line with the Trump administration’s plans to bolster cryptocurrency and make it a “national priority.”
Hedge Fund Resource Center