The three major U.S. indexes are set to post 2023 gains despite high inflation weighing on discretionary spending and industry-specific challenges. The gains weren’t uniform, however, and some stocks have struggled.
Here are the five worst performers in the S&P 500 as 2023 winds down:
FMC
Shares of
FMC
have tumbled 49% so far this year, putting them on track for their worst year on record, according to Dow Jones Market Data.
In October, the agricultural-sciences company slashed its financial guidance ahead of its third-quarter earnings report—a decision it said was “mainly driven by substantially lower sales volumes in Latin America.”
FMC
also lowered its forecasts for its fourth quarter and full year.
The road ahead, however, looks brighter.
In November, FMC offered a preliminary outlook for 2024 including a revenue range of $4.65 billion to $4.85 billion, higher than the $4.58 billion analysts had penciled in for 2023, according to FactSet.
Enphase Energy
Enphase Energy
stock has fallen 48% in 2023, on pace for its worst year since 2016.
The maker of inverter systems for solar panels is emblematic of a prickly year for the solar industry overall, thanks to higher interest rates that have made it more difficult to pay for larger home-improvement projects.
Earlier this month, Enphase—which was a Barron’s stock pick in September—disclosed that it is implementing a restructuring plan to cut operating costs, which includes trimming its workforce by about 10%, and ceasing operations at two contract-manufacturing plants.
Dollar General
Dollar General
stock is down 46% this year, notching its first annual decline on record.
The discount retailer has weathered punch after punch, ranging from disappointing earnings results to guidance cuts to macroeconomic challenges and pervasive shoplifting. In October, it announced that former CEO Todd Vasos would be returning from retirement to take the reins from current CEO Jeff Owen.
“Following significant execution challenges in recent quarters, we believe this change will be well-received by investors and could help to re-instill confidence in the longer-term DG bull case,” Oppenheimer analyst Rupesh Parikh wrote at the time.
Moderna, Pfizer
Shares of vaccine makers
Moderna
and
Pfizer
have tumbled 46% and 45% in 2023, respectively—the worst years on record for both—after soaring during the coronavirus pandemic. Gains may be on the horizon, however, Barron’s reported Wednesday.
The average analyst price target for
Moderna
stock is $125.23, according to FactSet, though shares are currently trading hands around $100, while
Pfizer
stock boasts an average price target of $31.26 and is trading at about $29.
Write to Emily Dattilo at [email protected]
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