Wall Street’s main indices finished mixed on Wednesday, with the Dow Jones emerging as the sole decliner as investors digested more news of tariff threats from President Donald Trump.
The Dow Jones dropped by 0.20 percent. In contrast, the S&P 500 and Nasdaq clocked in gains of 0.49 percent and 1.22 percent, respectively.
Ten companies mirrored a mostly pessimistic trading—four of which were Chinese stocks—as traders sold off to minimize risks from the potential impact of the US’ trade war with China.
In this article, we have identified the 10 worst performers on Wednesday and detailed the reasons behind their performance.
To come up with the list, we considered only the stocks with at least $2 billion in market capitalization and $5 million in trading volume.
A stock market graph. Photo by energepic.com on Pexels
10. American Airlines Group Inc. (NASDAQ:AAL)
American Airlines fell for a fifth straight day on Wednesday, losing 4.62 percent to finish at $10.93 apiece as investors sold off positions after the company turned pessimistic on its outlook for the first quarter of the year.
In a recent regulatory filing, AAL said it now expects revenues for the first quarter of the year to remain flat from the same period year-on-year, a revision from the 3 to 5 percent expected previously.
Meanwhile, available seat miles were also expected to remain unchanged on a year-on-year basis, as compared with its previous flat to 2-percent growth guidance.
“Since the Company’s initial first-quarter guidance issued on January 23, 2025, the revenue environment has been weaker than initially expected due to the impact of Flight 5342 and softness in the domestic leisure segment, primarily in March,” AAL said.
“First-quarter total revenue is now expected to be approximately flat versus the first quarter of 2024. Based on these updated assumptions, the Company expects its adjusted loss per diluted share to be approximately ($0.60) to ($0.80),” it added.
9. United Airlines Holdings Inc. (NASDAQ:UAL)
United Airlines extended its losing streak for a fifth straight day on Wednesday, shedding another 4.73 percent to finish at $72.46 apiece, as the company continued to bear the brunt of a pessimistic sentiment on the travel and tourism industry.
UAL, alongside its peers, suffered from sell-offs as a result of the ongoing trade tensions between the United States and its trading partners, including Canada.
At a conference, UAL Chief Executive Officer Scott Kirby said UAL is set to reduce its flying capacity with the retirement of 21 aircraft and the reduction of flights in markets that used to have high traffic, including Canada.
“Where you see people cutting is the places they’ve lost money,” and where they are not the number one carrier, Kirby said.
“From an industry level, I expect you will see modest supply changes in the short term. By the time we get to August, every analyst will be writing about capacity cuts.”
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