7 Of This Week's Early Losers

by: Bill Maurer

It hasn't been a great start to the week for the markets. On Monday, renewed fears over problems in Europe sent markets sharply lower throughout the day, with a late day rally pairing only some of the losses. On Tuesday, early morning gains were wiped out by a lower than expected retail sales report. Tuesday afternoon, markets continued to fall as the euro dropped and the Federal Reserve's statement was "a yawn". In two days, the Dow is down 1.88%, the NASDAQ is down 2.55%, and the S&P 500 is down 2.35%. There are a number of storied stocks that have made headlines as well, falling more than the markets. Here are seven more of this week's early losers.

Best Buy (BBY): Shares of the retailer took a nosedive on Tuesday after a bad earnings report. Revenues came in a little light at $12.1 billion versus estimates of $12.14 billion. EPS came in at 42 cents (47 cents adjusted) versus estimates of 51 cents. Guidance was not impressive either. While the company is buying back shares, it is facing extremely tough competition, especially from online retailers. Shares have fallen 15.6% so far this week.

Amazon (AMZN): Shares of the online retailer have declined 6.5% so far this week. Despite a positive report from Goldman Sachs on Kindle Fire sales, the firm started Amazon at a hold on Tuesday. Also, disappointing retail sales numbers and a terrible earnings report from Best Buy helped to take Amazon down. The valuation is still extremely rich, which causes many to hold back from buying the shares. Amazon is now at its lowest level since it reported earnings.

Ivanhoe Mines (IVN): The copper and gold miner took a huge hit on Monday after an arbitration decision went against the firm. To read the full decision, click here. Now, it appears that the company will not be taken over. When you combine this news with the falling price of gold over the past few days, shares have taken a beating. The company has lost 26.5% of its value over the past two days.

Sina Corp (SINA): Shares of the Chinese internet media company have taken a hit this week as investors have fled risk assets. Sina shares have lost over 7.8% in two days, continuing their recent struggles. Shares did not participate in the recent global rally as rumors that the firm Muddy Waters was about to release a negative report on the company. Shares hit a 52-week low on Tuesday near $56, well off the 52-week high of $147. The entire Chinese internet sector has been hit lately, and Sina's high valuation won't help it in the near future.

National Bank of Greece (NBG): Shares of the Greek bank, which have been going lower and lower for months, closed at another 52-week low on Tuesday after the company announced a possible 1 billion Euro stock sale. They are down 26% in two days. A recent 1 for 5 reverse split has not helped, and this stock, which I hold in my model short portfolio, is down 40% since the end of October. I've been saying that I think the name heads to zero, although there is the possibility that additional reverse splits will prevent that from happening.

Endocyte (ECYT): Shares of the biotech firm plummeted on Tuesday after it released disappointing results on its cancer therapy EC 145. The study found that the drug, which helps to treat women with platinum resistant ovarian cancer, did not extend a patient's life. Shares have lost more than 67% of their value in two days and are at their lowest levels since the company went public in February.

FactSet Research Systems (FDS): The financial and economic information company fell on Tuesday despite a decent earnings report. The company reported a quarter that beat estimates, and guidance was above expectations, but the street was worried about falling subscriber numbers. Shares have lost 7.4% so far this week, eliminating recent gains. I don't follow this company that much, but given the nice earnings forecast, it might be worth a second look if it trades lower from here.

Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in SINA, AMZN over the next 72 hours.