Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Why Are These Stocks Trading Deep in Red on Friday?

The key technical levels of 18,000 for the Dow and 2,100 for the S&P seem out of reach today as each index is in the red on the back of disappointing earnings reported by several tech giants. Among the stocks that plunged on Friday are Hawaiian Holdings, Inc. (NASDAQ:HA), SVB Financial Group (NASDAQ:SIVB), Chemours Co (NYSE:CC), Exelixis, Inc. (NASDAQ:EXEL), and Visa Inc (NYSE:V). Let’s find out why traders are selling and see what the smart money investors from our database think about these five companies.

The hedge fund sentiment is an important metric for assessing the long-term profitability. At Insider Monkey, we track nearly 800 hedge funds, whose quarterly 13F filings we analyze and determine their collective sentiment towards several thousand stocks. However, our research has shown that the best strategy is to follow hedge funds into their small-cap picks. This approach can allow monthly returns of nearly 95 basis points above the market, as we determined through extensive backtests covering the period between 1999 and 2012 (see the details here).

Hawaiian Flies Lower on Mixed Quarter

Hawaiian Holdings, Inc. (NASDAQ:HA)’s stock is 10.7% in the red after the airline reported a mixed first quarter, with EPS of $0.80 on sales of $551.18 million, versus estimates of $0.76 per share and $558.23 million. Guidance is a bit soft, with management expecting full-year Available Seat Miles to rise between 2.5% to 5.5% and Cost per ASM, excluding fuel, to be up low single digits. Of the around 786 funds we track, 23 funds owned $220.13 million of Hawaiian Holdings, Inc. (NASDAQ:HA)’s shares, which accounted for 11.70% of the float on December 31, versus 22 funds and $186 million, respectively, on September 30.

Follow Hawaiian Holdings Inc (NASDAQ:HA)
Trade (NASDAQ:HA) Now!

SVB Declines on Earnings Miss

SVB Financial Group (NASDAQ:SIVB) reported a disappointing first quarter and its stock is down 6.17% because of it. For the time period between January 1 and March 31, SVB Financial earned $1.52 per share on sales of $367.5 million, missing by $0.18 per share and $9.02 million, respectively. The company’s average loan balance increased 8% year-over-year to $17 billion, while net interest margin inched up 13 basis points to 2.67%. CEO Greg Becker said:

“Our core business remained healthy in the first quarter, with outstanding loan growth and solid core fee income. Credit overall remained sound, although softness in the VC markets pressured our early-stage loan portfolio and drove lower warrant and VC-related investment gains.”

Ken Fisher’s Fisher Asset Management owned more than 1.4 million shares of SVB Financial Group (NASDAQ:SIVB) at the end of December.

Follow Svb Financial Group (NASDAQ:SIVB)
Trade (NASDAQ:SIVB) Now!

On the next page, we will take a look at the news behind the moves of Chemours Co, Exelixis, and Visa.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.