5 of Last Week's Biggest Losers
There's never a shortage of losers in the stock market. Let's take a closer look at five of this past week's biggest sinkers.
Tile Shop Holdings
Let's start with Sarepta Therapeutics. The biotech was the Nasdaq's biggest loser, shedding 60% of its value after the FDA moved to delay its application for its Duchenne muscular dystrophy drug. It also didn't help that a rival drug fell short in clinical trials, exposing the difficulty in tackling a treatment for the disease.
Tile Shop was another name crashing through the floor. The tile specialist cracked after a report by noted worrywart Gotham City Research accused the company of flimsy accounting. It argues that Tile Shop's been overstating its financial results in recent quarters and that it has an inappropriate family relationship with a supplier. Tile Shop denied the allegations, but a Friday bounce on the denial only made up a sliver of the prior day's losses.
Hanwha SolarOne dimmed after posting disappointing quarterly results. The Chinese maker of silicon ingots, wafers, and photovoltaic cells and modules served up a big loss, with revenue margins staging sequential retreats. Hanwha continue to tumble later in the week after announcing a dilutive secondary offering.
Rackspace stumbled after the Web-hosting giant posted a quarterly profit of $0.11 a share. Analysts were holding out for earnings of $0.16 a share. A miss is never a good thing, but it's dangerous when you're a market darling trading at a lofty earnings multiple.
Finally, Cirrus Logic stumbled after a problematic analyst report. Barclays analyst Blayne Curtis noted that the new iPad Air doesn't have Cirrus Logic's audio amplifiers, unlike previous tablet incarnations. There are still Cirrus Logic components in the new iPad and iPhone, but it's never good to see a component go to a rival.
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The article 5 of Last Week's Biggest Losers originally appeared on Fool.com.Longtime Fool contributor Rick Munarriz has no position in any stocks mentioned. The Motley Fool recommends Rackspace Hosting and Tile Shop Holdings and owns shares of Cirrus Logic and Tile Shop Holdings. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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