Nike Joins Small List Of Companies Hitting 52-Week Lows On Monday
The list of stocks hitting 52-week lows on Monday isn’t particularly large but does include one Dow Jones component – Nike (NYSE: NKE)
What Happened To Nike?
Shares of Nike hit a new 52-week low of $50.00 on Monday after analysts at Bank of America slashed their rating on the stock to Underperform from Neutral.
According to Benzinga, the analyst Robert Ohmes believes that the innovation gap between Nike and new product releases versus its peers now stands at the worst levels ever.
Specifically, Ohmes stated that Nike didn’t launch a major platform when it had the world’s attention during the Olympic games and now the company is unlikely to launch a new platform in the near term.
The analyst also lowered his price target on Nike to $46 from a previous $55 which implies further downside is ahead. The stock has now lost around 20 percent since the start of 2016 and close to 25 percent over the past year.
One of Nike’s closest competitors, Under Armour (NYSE: UA) also hit a new 52-week low of $30.57 before slightly rebounding even though Ohmes named Under Armour as a beneficiary of Nike’s lost market share.
Invacare Reports Worse-Than-Expected Q3
Invacare (NYSE: IVC) is a small-cap manufacturer and distributor of medical equipment used in non-acute care settings.
On Monday the stock hit a new 52-week low of $8.00 but rebounded more than $1 per share after the company’s third quarter earnings report featured a top-and-bottom-line miss.
Invacare said that it lost $0.37 per share in the third quarter on revenue of $268.1 million. Wall Street analysts were expecting the company to lose $0.21 per share on revenue of $271.5 million.
Shares have now lost nearly 50 percent since the start of 2016 and around 45 percent over the past year.
Memorial Production Suspends Dividends, Shares Lose 50%
Memorial Production Partners (NASDAQ: MEMP) is a nano-cap owner and acquirer of oil and natural gas properties in North America.
Shares lost more than 50 percent of its value and hit a new 52-week low of $0.48 after the company announced that it has no choice but suspend its quarterly cash distribution to unitholders, effectively immediately.
The company said the decision to suspend its cash distribution will preserve its liquidity and enhance the company’s operational and financial flexibility.
The stock is now notably lower by around 80 percent since the start of 2016 and around 90 percent over the past year.