Why Are These 4 Stocks Deep In The Red Today?

Then there is Valeant Pharmaceuticals Intl Inc (NYSE:VRX), which has slightly recovered from its slump upon the day’s opening, but is still trading around 7% in the red after the company said that it had received subpoenas from federal prosecutors regarding its drug-pricing policies. The company was in the news after it drew scrutiny regarding how it prices drugs and said yesterday that it would cooperate with the investigation. Despite the news, analysts are mostly optimistic regarding the stock and earlier today Bank of America and Guggenheim reiterated their ‘Buy’ ratings, while the current average price target of around $234.70 implies upside potential of over 33%. Hedge funds are also bullish on Valeant Pharmaceuticals Intl Inc (NYSE:VRX) as 98 of those that we track reported stakes worth $22.02 billion in aggregate, representing roughly 29% of the company as of the end of June. Billionaire Bill Ackman is one of the investors bullish on Valeant Pharmaceuticals Intl Inc (NYSE:VRX) (see his recent comments on the company).

Manitowoc Company Inc (NYSE:MTW) has also fallen by over 12% after the company disclosed its preliminary results for the third quarter on Wednesday, pointing out that it sees falling demand in the crane segment, particularly in the Middle East and Asia. In this way, Manitowoc Company Inc (NYSE:MTW) expects to report sales of $863 million for the third quarter, down from $986.3 million a year earlier, while GAAP net profit is expected to be $5 million, compared to $73.1 million in the third quarter of 2014. Among hedge funds from our database, we can notice an optimistic sentiment, even though the company is not very popular, since only 25 funds reported stakes equal to 35% of Manitowoc Company Inc (NYSE:MTW)’s outstanding stock at the end of June.

Disclosure: None