20 Underperforming Stocks Targeted By Short Sellers

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11. Monro, Inc. (NASDAQ:MNRO)

Short interest: 16.24%

6 months’ performance: -47.88%

Monro, Inc. operates automotive repair and retail tire stores in the U.S. The company provides automotive undercar repair services, replacement tires and tire-related services, and routine maintenance services. It offers its services to light trucks, vans, and passenger cars.

The firm missed its most recent quarterly revenue estimates with a revenue decline of 3.74% YoY. Comparable sales also went down by 0.8%. However, an improvement of 500bps was seen as compared to the previous quarter. Driven by higher material costs and promotional expenses, the operating and gross margins also decreased. Overall, the quarter did not end well for the company.

Macroeconomic challenges and proposed tariffs on vehicle imports continue to subdue the stock’s performance. Tariff complications will potentially lead to a rise in prices for vehicles and parts, affecting their sales and revenue.

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