5 Stocks Losing Top Investor Support

Recs

9

"Bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria. The time of maximum pessimism is the best time to buy, and the time of maximum optimism is the best time to sell." -- Sir John Templeton

Just as it makes sense to research the stocks attracting top investors, it's equally important to figure out why smart money is leaving other investments. Using Motley Fool CAPS, the Fool's 130,000-member-strong investing community, we can see which stocks are losing support from CAPS All-Star players.

A sudden decrease in interest from top-rated investors could signal that the stock is losing steam, which might make it an awful stock to avoid for now. At the very least, such drops should signal that further research is in order.

Here are five stocks receiving less support from CAPS All-Stars over the past month:

Company

Industry

% Change in All-Star Bulls From 2/9 to 3/11

CAPS Rating (out of 5)

CAPS Research

Direxion Shares ETF Trust Large Cap Bear 3x (NYSE: BGZ)

Funds

(47%)

1 Stars BGZ

Direxion Shares ETF Trust Small Cap Bear 3x (NYSE: TZA)

Funds

(42%)

1 Stars TZA

YRC Worldwide, Inc. (Nasdaq: YRCW)

Road and Rail

(37%)

2 Stars YRCW

EMCOR Group, Inc. (NYSE: EME)

Construction and Engineering

(36%)

5 Stars EME

Meredith Corp (NYSE: MDP)

Media

(35%)

3 Stars MDP

Source: Motley Fool CAPS, as of March 11, 2009.

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Disclosure is important to us here at The Motley Fool. No individual person selected the stocks in this article, so there is no author to disclose an interest in them. Since this article was automatically generated, it is possible that Motley Fool personnel (and even The Motley Fool itself, through our Million Dollar Portfolio, Motley Fool Pro, and Ready Made Millionaire services), have positions in these stocks. We thought you'd like to know that. You can learn more about The Motley Fool’s disclosure policy here.

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On March 15, 2009, at 2:16 PM, afoolsgold wrote:

    To take an ETF, like BGC or TZA which specializes in shorting certain sectors and compare them to companies such as YRCW, EME and MDP is, well like misquoting an old cliché, comparing rutabaga to tomatoes. The two ETF's mentioned should not be considered for long term holding; if anything they are useful as a hedge in daily trading or held for a very short term. Your article would seem to suggest that the worst of the rule of the Bear is behind us. It will be interesting to see if your inference pans out. Personally I think in the near term, ETFs with a dedicated short bias will reward investors who invest in them wisely. For the record I rate a few ETFs like the ones you mentioned, but will remove them from my list before I think the market has bottomed or at least reached a modicum of stability.

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Related Tickers

11/20/2009 4:02 PM
EME $24.56 Down -0.49 -1.96%
EMCOR Group, Inc. CAPS Rating: *****
MDP $27.75 Down -0.69 -2.43%
Meredith Corp CAPS Rating: **
YRCW $1.25 Up +0.12 +10.62%
YRC Worldwide, Inc… CAPS Rating: **

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