In this article, we will discuss some of the notable stocks crashing on Friday.
The US equity markets are under pressure following the results of some major technology companies. The S&P 500 Index is on its way to recording its third monthly loss in the last four months. As of 10:51 AM ET, the S&P 500 Index, the Dow 30 Index, and the NASDAQ Composite Index are all down 1.72%, 1.19% %, and 1.77%, respectively. Some other notable stocks that are taking a beating today include Exxon Mobil Corporation (NYSE:XOM), Intel Corporation (NASDAQ:INTC), and Colgate-Palmolive Company (NYSE:CL).
Let’s look at why these stocks are tumbling today and discuss how hedge funds are positioned in them.
10. AbbVie Inc. (NYSE:ABBV) has lost 8.30% of its value as of 10:31 AM ET after the pharmaceutical company missed top-line estimates for the quarter as it was hurt by competition in Europe for Humira. Humira is AbbVie Inc.’s (NYSE:ABBV) blockbuster drug against rheumatoid arthritis. A rival drug will be available in the US from 2023 as the drug loses its patent protection. AbbVie Inc. (NYSE:ABBV) has been working on other drugs to combat the impact of declining sales of Humira by getting expanded approval for Rinvoq and Skyrizi. Rinvoq is to be used in the treatment of rheumatoid arthritis, while Skyrizi will be used to treat plaque psoriasis.
According to Insider Monkey’s proprietary data, AbbVie Inc. (NYSE:ABBV) was held by 82 hedge funds as of Q4 2021. Axel Capital Management is the leading investor in AbbVie Inc. (NYSE:ABBV) as of Q1 2022, with a stake worth over $9.5 million.
9. Amazon.com, Inc. (NASDAQ:AMZN) is 11.78% in the red as of 10:31 AM ET after the Seattle, Washington-based tech giant reported a decline in online sales and higher costs that resulted in the company reporting its first loss since 2015 and the stock price slipping to its 52-week low. Amazon.com, Inc. (NASDAQ:AMZN) reported a loss of $3.8 billion in Q1 2022, mainly due to its investment in Rivian Automotive Inc. (NASDAQ:RIVN). The stock price of the electric vehicle manufacturer has lost nearly half of its value during the quarter.
Amazon.com, Inc.’s (NASDAQ:AMZN) revenue increased by 7% YoY, compared to revenue growth of 44% YoY experienced during the same period last year. This is the second consecutive quarter that Amazon.com, Inc. (NASDAQ:AMZN) has reported single-digit YoY growth in revenue and the lowest YoY growth number since the dot-com bubble in 2001.
Out of the 924 hedge funds covered by Insider Monkey, 279 funds held a position in Amazon.com, Inc. (NASDAQ:AMZN) as of Q4 2021.
8. Apple Inc. (NASDAQ:AAPL) has plummeted 0.20% as of 10:32 AM ET after the company revealed that it anticipates a loss in revenue of $4 billion to $8 billion in the current quarter. Apple Inc. (NASDAQ:AAPL) shared that the company was facing supply chain-related challenges and weaker demand from China due to lockdowns. Since the start of COVID-19 in February 2020, Apple Inc. (NASDAQ:AAPL) has stopped providing revenue guidance due to pandemic-related uncertainty.
According to Insider Monkey’s proprietary data, 134 hedge funds reported owning a stake in Apple Inc. (NASDAQ:AAPL) at the end of Q4 2021. Bailard Inc was long over 935,537 shares of Apple Inc. (NASDAQ:AAPL) during Q1 2022.
7. Mastercard Incorporated (NYSE:MA) has declined 3.38% as of 10:36 AM ET after the New York-based payment technology solutions company was downgraded from a Neutral to an Underweight rating by Christopher Donat at Piper Sandler. The analyst lowered the price target on Mastercard Incorporated (NYSE:MA) from $360 to $357, reflecting a potential downside of 5% from the last closing price. Donat has cited macro challenges in Europe as the main reason for the downgrade. The analyst thinks that Europe can enter a recession next year, which would harm payment transactions that could drive down the revenue of Mastercard Incorporated (NYSE:MA).
Overall, 144 hedge funds held a stake in Mastercard Incorporated (NYSE:MA) as of Q4 2021.
6. Comcast Corporation (NASDAQ:CMCSA) has declined 3.98% as of 10:49 AM ET after the Philadelphia, Pennsylvania-based telecommunications conglomerate was downgraded from a Buy to a Neutral rating by Jessica Reif Ehrlich at Bank of America. The analyst slashed the target price on Comcast Corporation (NASDAQ:CMCSA) from $67 to $50. Jessica believes that after a long period of limited competition, the fast deployment of fixed wireless access and fast fiber builds reflect a “real threat” to the broadband subscriber base of Comcast Corporation (NASDAQ:CMCSA).
As of Q4 2021, Comcast Corporation (NASDAQ:CMCSA) was held by 80 hedge funds.
Along with Comcast Corporation (NASDAQ:CMCSA), some other notable stocks tumbling today include Exxon Mobil Corporation (NYSE:XOM), Intel Corporation (NASDAQ:INTC), and Colgate-Palmolive Company (NYSE:CL).
5. Exxon Mobil Corporation (NYSE:XOM) has fallen 0.21% as of 10:36 AM ET after the Irving, Texas-based integrated oil and gas company recorded a $3.4 billion after-tax charge related to the suspension of its operations in Russia. Moreover, Exxon Mobil Corporation (NYSE:XOM) reported lower-than-expected earnings for Q1 2022. The company recorded a profit of $8.8 billion before excluding the impact of extraordinary items. This translated into an adjusted EPS of $2.07, which missed the consensus estimate of $2.23. Bailard Inc was the leading investor in Exxon Mobil Corporation (NYSE:XOM) during Q1 2022.
As of Q4 2021, Exxon Mobil Corporation (NYSE:XOM) was held by 71 hedge funds.
4. Bristol-Myers Squibb Company (NYSE:BMY) is down 3.37% as of 10:36 AM ET after the New York-based pharmaceutical company trimmed its FY22 EPS outlook. Bristol-Myers Squibb Company (NYSE:BMY) lowered its non-GAAP EPS prior estimate of $7.65 – $7.95 to $7.44 – $7.74. At the midpoint of $7.59, it falls 15 cents short of the consensus estimate of $7.74. Moreover, Bristol-Myers Squibb Company (NYSE:BMY) also slashed the full-year guidance for its blood cancer drug Revlimid by $500 million.
Of the 924 hedge funds in Insider Monkey’s database, Bristol-Myers Squibb Company (NYSE:BMY) was held by 66 hedge funds as of Q4 2021.
3. Colgate-Palmolive Company (NYSE:CL) has slipped 5.20% as of 10:36 AM ET after CEO Noel Wallace admitted that the company’s profitability was adversely impacted by a significant rise in the cost of raw materials and logistics globally. Moreover, Colgate-Palmolive Company (NYSE:CL) missed the EPS estimates by one cent for Q1 2022. Even though Colgate-Palmolive Company (NYSE:CL) raised its forecast for net sales to the higher end of its prior guidance, investors appear to be concerned about the rising costs eating away at the gross and net margins.
As of Q4 2021, Colgate-Palmolive Company (NYSE:CL) was held by 48 hedge funds.
2. Intel Corporation (NASDAQ:INTC) has slid 6.44% as of 10:32 AM ET after the Santa Clara, California-based chipmaker revealed lower-than-expected guidance for Q2 2022. Intel Corporation (NASDAQ:INTC) reported a decline in revenue of 7% YoY to $18.35 billion. For Q2 2022, Intel Corporation (NASDAQ:INTC) anticipates revenue and adjusted EPS of $18 billion and 76 cents respectively, compared to the analysts’ expectations of $18.38 billion and 84 cents. Moreover, Intel Corporation (NASDAQ:INTC) guided the fiscal year 2022 revenue of $76 billion and raised its guidance by 10 cents to $3.60.
Intel Corporation (NASDAQ:INTC) was held by 72 hedge funds at the end of Q4 2021.
1. The Western Union Company (NYSE:WU) has dropped 12.75% as of 10:37 AM ET after the target price of the Denver, Colorado-based firm was lowered from $20 to $19 by Tien-Tsin Huang at JPMorgan. The analyst maintained an Underweight rating on The Western Union Company (NYSE:WU) stock. Huang highlighted that the company’s Q1 2022 results were adversely impacted by macro headwinds due to the suspension of services in Russia and Belarus. The Western Union Company (NYSE:WU) saw its revenue decline by 4% YoY to $1.15 billion, which missed the consensus estimate of $1.14 billion. Furthermore, The Western Union Company (NYSE:WU) expects a revenue decline of 9% to 11% for the full year.
Out of the 924 hedge funds in Insider Monkey’s database, The Western Union Company (NYSE:WU) was owned by 28 hedge funds as of Q4 2021.
You can also take a peek at the 10 Tech Stocks to Buy Now According to Robert Pitts’ Steadfast Capital and 10 Favorite Stocks of Billionaire Izzy Englander.
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Disclose. None. 10 Stocks Tumbling Today is originally published on Insider Monkey.
