The Losers of the Week: Solar Selloff, Data Safety Ding, and IPO Pain
Last week was another volatile one for investors. Among the 10 biggest losers were a handful of solar energy stocks that got hammered for a second week in a row, a Dutch data security firm undergoing a dustup, and a few companies that are experiencing the pressures of Wall Street scrutiny for the first time since going public.
Trina Solar and JinkoSolar had already suffered double-digit percentage dips a week ago, as investors moved out of solar energy stocks. The selloff continued. The recent bankruptcy filings by Solyndra and Evergreen Solar aren't helping, since they're more symptomatic of demand than an opportunity to gain market share.
It isn't a surprise to see Trina and JinkoSolar -- joined by JA Solar and Yingli Green Energy -- among the biggest losers last week, though solar energy in both residential and commercial applications isn't going away. Right now, the challenge for investors is nailing the bottom.
A solar sell-off wasn't the only crushing news for companies last week. Take a look:
Trina Solar (TSL)
Yingli Green Energy (YGE)
Alon Holdings (BSI)
JA Solar (JASO)
Pandora Media (P)
Bravo Brio (BBRG)
Deer Consumer Products (DEER)
VASCO Data Security continues to feel the pain after news broke last month that one of its subsidiaries was responsible for issuing a digital certificate to a Google (GOOG) impersonator that left hundreds of thousands of Internet users in Iran vulnerable.
Last week's news came from Dutch rival KPN's revealing that it was securing hundreds of new certificate orders in the aftermath of VASCO's hit. Wunderlich Securities downgraded shares of VASCO on the revelation, leading investors to question if the company can bounce back from this credibility hit.
Alon Holdings Blue Square-Israel continues to reel despite posting strong growth in its latest financial report two weeks ago. It also upset investors last week when it revealed that the Israeli Ministry of National Infrastructure was reducing the marketing margin awarded to its subsidiary on a gasoline contract.
Fusion-IO has only been public for three months, but that doesn't mean that it isn't already making enemies. Auriga Securities analyst Kevin Hunt initiated coverage of the storage equipment vendor with a "sell" rating and a $16 price target. The problem with that near-term price goal is that Fusion-IO started the week in the mid-$20s.
Bravo Brio Restaurant Group is the company behind the BRAVO! Cucina Italiana and BRIO Tuscan Grille eateries. There was no news out last week on the restaurateur, though a softening economy obviously isn't going to be good for casual-dining operators that feast on disposable income.
Deer Consumer Products has a "Little" problem that isn't so little. It continues to come under bearish attacks, with the Alfred Little financial blog accusing the company of accounting shenanigans. The New York-based company that makes DEER-branded household products throughout China is fighting back, but the bears got the better of the battle last week.
Longtime Motley Fool contributor Rick Munarriz does not own shares in any of the stocks in this article. The Motley Fool owns shares of Google. Motley Fool newsletter services have recommended buying shares of Google and VASCO Data Security International.