3 Dow Stocks That Posted Big Losses Today

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

There's nothing like a long losing streak to scare investors, and today's market action did nothing to allay those fears. With a 31-point drop, the Dow Jones Industrials (INDEX: ^DJI  ) fell for the sixth straight day, as many see a sort of Bizarro-Goldilocks scenario in which the economy is weak enough to hurt stocks, but not so weak that it warrants action from the Federal Reserve to take further measures to boost growth.

Today's weakness in the tech se ctor highlights the tug-of-war between weakness and growth, as the Nasdaq Composite (INDEX: ^IXIC  ) was the worst performer of the major indexes today. With the three Dow stocks that trade on the Nasdaq, Intel (Nasdaq: INTC  ) , Cisco Systems (Nasdaq: CSCO  ) , and Microsoft (Nasdaq: MSFT  ) , all falling more than 2%, the obvious place to lay blame was yesterday's data from Gartner and IDC that worldwide sales of PCs fell 0.1% during the second quarter, falling short of an expected 2.1% advance. U.S. sales declines of 10.6% pose an even bigger challenge for Intel and Microsoft, whose most successful products are tied to PCs.

From a longer-term perspective, what's clear is that investors aren't giving these companies full credit for being able to innovate their way toward future growth. Despite tech venture capitalist Marc Andreessen's assertions that Cisco and Microsoft are undervalued, Fool analyst John Reeves notes that even well-established firms have found it impossible to keep up with changing times in the technology space.

What may be behind tech's uncertainty is simply the need for Intel, Microsoft, and Cisco to find customers willing to spend money. In a questionable economy, businesses and consumers alike prefer to put off making spending decisions. But when broad-based economic growth finally comes, then the pent-up demand could send tech companies soaring.

Put on the rally caps
Eventually, the Dow's losing streak will end, and the best stocks will rise again. Start positioning yourself for the inevitable turnaround by reading the Motley Fool's latest special report, where you'll find our picks of three strong Dow stocks that combine dividend strength and promising growth prospects. The report is absolutely free, so just click here and get your copy today.

Fool contributor Dan Caplinger doesn't own shares of the companies mentioned. You can follow him on Twitter @DanCaplinger. The Motley Fool owns shares of Cisco Systems, Intel, and Microsoft. Motley Fool newsletter services have recommended buying shares of Intel and Microsoft, as well as creating a bull call spread position in Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool has a disclosure policy.

Read/Post Comments (0) | Recommend This Article (7)

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.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1942366, ~/Articles/ArticleHandler.aspx, 5/24/2016 2:15:12 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Dan Caplinger

Dan Caplinger has been a contract writer for the Motley Fool since 2006. As the Fool's Director of Investment Planning, Dan oversees much of the personal-finance and investment-planning content published daily on With a background as an estate-planning attorney and independent financial consultant, Dan's articles are based on more than 20 years of experience from all angles of the financial world.

Today's Market

updated Moments ago Sponsored by:
DOW 17,691.36 198.43 1.13%
S&P 500 2,073.82 25.78 1.26%
NASD 4,854.14 88.36 1.85%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

5/24/2016 1:59 PM
^DJI $17691.43 Up +198.50 +1.13%
^IXIC $4853.93 Up +88.14 +1.85%
NASDAQ Composite… CAPS Rating: No stars
CSCO $28.52 Up +0.58 +2.08%
Cisco Systems CAPS Rating: ****
INTC $31.05 Up +0.82 +2.72%
Intel CAPS Rating: ****
MSFT $51.53 Up +1.50 +3.00%
Microsoft CAPS Rating: ****