5 of Last Week's Biggest Losers

There's never a shortage of stocks going the wrong way in any given chunk of time. No stock goes straight up, and sometimes fundamentals can get a bit wobbly. Let's take a closer look at five of this past week's biggest sinkers.

Company

July 25

Weekly Loss

Silicom Ltd.  (NASDAQ: SILC  )

$27.24

26%

New Oriental Education  (NYSE: EDU  )

$19.40

20%

Xilinx  (NASDAQ: XLNX  )

$41.46

13%

Kandi Technologies  (NASDAQ: KNDI  )

$17.38

11%

Core Labs  (NYSE: CLB  )

$147.22

11%

Source: Barron's.

Let's start with Silicom, which posted a quarterly profit of $0.50 a share, sorely missing the $0.58 the pros were forecasting. Needham downgraded Silicom after the uninspiring report, in which revenue declined sequentially as Silicom warned of soft demand that it expects to continue in the near term.

New Oriental Education also fell victim to head-shaking analysts after offering up ho-hum guidance. The Chinese provider of tutoring services warned that it expects revenue for the current quarter to climb 6% to 10%. Even at the high end of its guidance, it's roughly half as much octane as Wall Street was projecting. Morgan Stanley and JPMorgan Chase stuck to their bullish ratings but lowered their price targets after the report. 

Xilinx tumbled after posting disappointing quarterly results. Its revenue of $612.6 million fell well short of Wall Street's $631 million target. Its guidance, suggesting that revenue growth will be flat to slightly lower sequentially, was also a letdown. A couple of analysts moved to downgrade Xilinx on the report, but Argus did buck the trend by upgrading the stock a day after the carnage. 

Kandi Technologies moved lower after a strong rally earlier this month. The Chinese maker of electric vehicles initially moved higher on Monday on reports that a generous sales-tax break -- going into effect in September to encourage China to embrace more emissions-free forms of transportation -- would apply only to China-made cars. That would give Kandi and China's homegrown players a competitive advantage. Spirits soured later in the week, though, when a Seeking Alpha piece called into question Kandi's latest financial filing. Despite the setback, the stock is still trading higher than it was two weeks ago, and it has more than doubled since the end of November. 

Finally, we have Core Labs getting cored after putting out an uninspiring quarter. Even Jim Cramer wasn't impressed.

"That last quarter was really bad," Cramer said on CNBC's Mad Money. "I need to see the next quarter before I get back on board."

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Read/Post Comments (2) | Recommend This Article (5)

Comments from our Foolish Readers

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  • Report this Comment On July 27, 2014, at 3:01 PM, Gdubu wrote:

    Four of last week's biggest losers - Ben Rabizadeh, Eli Hoffman, David Jackson, and Rick Munarriz.

    What I don't understand though is how Seeking Alpha can publish and syndicate an article like, "Kandi Technologies' 10-Q Reveals Phantom Sales Growth And Other Serious Concerns" by Ben Rabizadeh. This concerns me greatly because cursory due diligence regarding Ben Rabizadeh, or whatever his name is, ("the author") revealed that the author uses three different names in various public commercial conduct, and has a history of inflammatory, threatening, and litigious behavior - all directed at moving the prices of publicly traded small capitalization stocks lower.

    In the aforementioned article the author claims to have been a "Joe Average" retail investor who was moved to write the article the day after reading Kandi's Form 10-Q which had been filed two and one-half months earlier. He goes further to claim he possesses only a basic knowledge of shorting yet he does not disclose his affiliation with and interest in Ascending Capital, a firm that engages in "aggressive options trading strategies." Of curious interest is how the author's LinkedIn profile and the Ascending Capital website were altered to conceal or diminish the author's profile and affiliation in the hours and days following publishing his aforementioned article on Seeking Alpha.

    There is curiosity and then there is damning and what I find damning is that within twenty minutes or less following publication of the author's article on Seeking Alpha a law firm announces an "investigation" into the claims posed in the author's article - baseless claims by the way. I know and understand the efficiencies of boilerplate, and global search and replace software applications, and computerized efficiencies, but twenty minutes, or less? C'mon, who are you kidding?

    The author's article was a well-coordinated hit-piece as part of a short attack and in one fashion or another it would appear Seeking Alpha was party to the escapade.

  • Report this Comment On July 28, 2014, at 2:00 AM, Maxgain0114 wrote:

    Author fails to notify that there were other SA articles that discussed the ineptitude of the hit piece written by Ben. Also, the SA article mentioned in the article talks about 3 month old details which are not relevant.

    There is always going to be articles like this as the stock moves higher. This stock can only go higher from here and might not surprise me if it hits 40-50 by year end.

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