Why Clean Energy Fuels, Medivation, and NII Holdings Tumbled Today

Stocks generally finished February on a strong note and, even though the market finished off its highs of the day, the S&P 500 again hit new all-time record highs and lifted most individual stocks along with it. But bad news still hit a few companies, and shareholders of Clean Energy Fuels (NASDAQ: CLNE  ) , Medivation (NASDAQ: MDVN  ) , and NII Holdings (NASDAQOTH: NIHDQ  ) all suffered big declines today that even the cheerful mood on Wall Street wasn't enough to overcome.

Clean Energy Fuels fell 14% after the natural-gas refueling station and infrastructure company's fourth-quarter results failed to meet investors' ambitious growth hopes. Delivery volume rose 13% after adjusting for continuing operations, but the company's adjusted net loss widened from year-ago levels, and revenue fell short of overall expectations. In the long run, Clean Energy Fuels faces a large number of challenges, including rising competition and soaring natural-gas prices, that could lead some potential customers to delay or cancel plans to convert from oil-based fuels to natural gas.

Medivation dropped 15% as the maker of biopharmaceutical cancer treatment Xtandi gave guidance for the fiscal 2014 year that fell short of what investors had hoped to see. Medivation posted a surprising profit for the quarter on revenue growth of 160% compared to the year-ago quarter. But the company's 2014 forecast suggested that Medivation doesn't expect that pace of sales growth to continue, with guidance for revenue of $500 million to $535 million falling short of expectations. Of greater concern is that, if growth in Xtandi sales slows down even further, the prostate-cancer treatment could end up not becoming the blockbuster drug that so many foresaw it becoming. That concern is one reason why analysts at Jefferies downgraded Medivation stock today.

NII Holdings plunged 55% after its earnings report raised questions about how long the mobile-phone service provider will be able to keep operating. The company lost nearly a quarter of a million customers in the fourth quarter, and net losses of nearly three-quarters of a billion dollars for the quarter only accentuated the balance-sheet stress that $3.4 billion in debt, net of cash and investments, is having on the company. With NII Holdings warning that it might have to take measures to raise capital in order to avoid a liquidity crunch as soon as next year, even bond investors aren't convinced that the company will be able to make good on its obligations and avoid default.

Pick a great growth stock
You can't often find a stock that can make you wealthy all by itself, but our chief technology officer believes he's found one. In this free report, Jeremy Phillips shares the single company that he believes could transform not only your portfolio, but your entire life. To learn the identity of this stock for free, and see why Jeremy is putting more than $100,000 of his own money into it, all you have to do is click here now.

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

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.

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: 2860128, ~/Articles/ArticleHandler.aspx, 8/29/2015 7:40:45 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 22 hours ago Sponsored by:
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 1.21 0.06%
NASD 4,828.33 15.62 0.32%

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

8/28/2015 4:00 PM
CLNE $5.17 Up +0.27 +5.51%
Clean Energy Fuels CAPS Rating: ****
MDVN $92.41 Up +0.34 +0.37%
Medivation, Inc. CAPS Rating: ***
NIHDQ $0.00 Down +0.00 +0.00%
NII Holdings, Inc. CAPS Rating: **