The Five Least Successful Stocks in the Dow Jones Industrial Average Nearly Reaching Their 2024 Conclusion
This year has seen mixed fortunes in the stock market, with some sectors performing exceptionally well, while others lagged behind. Tech and utilities sectors have thrived, but the real estate and healthcare sectors have underperformed. Now, let's dive into the five worst performers from the Dow Jones Industrial Average (DJI) list of blue-chip stocks.
1. Boeing (Dropped by 36.5%)
Boeing (BA 2.08%) has had a challenging year. The year started on a sour note when the door panel of a Boeing jet flying with Alaska Airlines detached mid-flight. Subsequent investigations revealed a neglectful workplace environment where quality control measures became lax. The company appointed a new CEO, but a complete reboot may take time.
2. Nike (Dropped by 27.5%)
Nike (NKE -0.07%) faced challenges this year. Mistakes from former CEO John Donahoe (who was also ousted this year) led to a decline in sales, profits, and market share. Competitors like On Holding and Deckers' Hoka brand capitalized on this opportunity. The company has been criticized for its shift away from brand marketing and its partnerships with wholesale retailers like Foot Locker. New CEO and company veteran Elliott Hill is expected to steer a change in strategy.
3. Merck (Dropped by 8.5%)
Merck (MRK -1.12%) is one of the pharmaceutical stocks that underperformed this year. The company struggled to expand beyond Keytruda, a cancer drug, as popular franchises like the HPV vaccine Gardasil and diabetes drug Januvia faced setbacks. Gardasil's weakness in China and competition for Januvia hampered growth. Keytruda accounts for nearly half of the company's revenue now, although the challenges with other drugs have impacted profits.
4. Johnson & Johnson (Dropped by 6.3%)
Johnson & Johnson (JNJ -1.89%) is also down this year due to lawsuits surrounding talcum-based products, as well as decreased profits due to legal costs and escalated research and development (R&D) expenses.
5. Amgen (Dropped by 4.8%)
Amgen (AMGN -1.52%) missed out on the growth opportunities from cyclical tailwinds that lifted the broader market. The company is grappling with challenges related to MariTide, a potential weight loss drug associated with bone mineral density loss. Revenue from oncology treatments and established products like Enbrel have also slumped.
- Despite the challenging year in finance, many individuals are still looking for investment opportunities, with some considering companies like Boeing for potential returns, despite its recent difficulties.
- In light of the market fluctuations, it's important for investors to consider factors like a company's performance and future prospects before investing their money, such as in the case of Nike, which faced significant challenges this year but may present opportunities for those with a longer-term investment strategy.
