Analysts are Downgrading These 5 Stocks

In this article, we discuss the 5 stocks that were recently downgraded by analysts. If you want to see some other stocks on the list, go directly to Analysts are Downgrading These 10 Stocks.

5. Olaplex Holdings, Inc. (NASDAQ:OLPX)

Number of Hedge Fund Holders: 18

Shares of Olaplex Holdings, Inc. (NASDAQ:OLPX) turned red in pre-market trading Thursday, September 29, after Piper Sandler lowered its ratings for the beauty company from “Overweight” to “Neutral.”

Analyst Korinne Wolfmeyer thinks Olaplex Holdings, Inc. (NASDAQ:OLPX) could face a tough time due to intensifying competition from other hair brands such as K18. Wolfmeyer added the company needs to boost its marketing and educational efforts to overcome the hurdles. She cut her price target for Olaplex stock from $19 per share to $12 per share.

Earlier this year, Olaplex Holdings, Inc. (NASDAQ:OLPX) also appeared in ClearBridge Investments’ first-quarter 2022 investor letter, stating:

“During this sharp downward move for growth equities, the ClearBridge Mid Cap Growth Strategy trailed its Russell Midcap Growth benchmark. Strategy holdings were buffeted by a variety of macro and industry-specific factors. We exited hair care products maker Olaplex (NASDAQ:OLPX) in the consumer staples sector on concerns over what negative publicity for the company could mean for branding.”