The specified four large-cap stocks have reportedly entered a bear market phase.
The specified four large-cap stocks have reportedly entered a bear market phase.
Today's significant drop in the S&P 500 and Nasdaq 100 has sparked financial media pundits to discuss if now is an opportune time to buy the dip. It's not hard to understand their perspective, given how 2024 has turned ordinary investors into stock market legends by repeatedly saying "buy the dip" when stocks slipped by more than a percent or two in a day.
The more individuals utter these words, the simpler it becomes to proclaim them as a kind of investment doctrine. However, excluding a select few favorites that have hogged the limelight, the year 2024 hasn't been overly bullish. The recent NYSE Advance/Decline index action reveals that most stocks have failed to contribute to the "new highs" narrative.
I discussed this previously on Our Website.com here and here.
4 Major Stocks currently in Bear Markets.
Alexandria R E Equity.
The stock plummeted below its August low in mid-November, rallied temporarily, and then faltered in maintaining its short-lived surge. The 50-day moving average fell below the 200-day moving average in early November. Today's 4.28% slide transpired on increased trading volume.
This real estate investment trust has a market cap of $17.11 billion. The stock sports a price-earnings ratio of 59 and currently trades at an 9% discount to its book value. The debt-to-equity ratio stands at .75. Alexandria Real Estate Equity offers investors a dividend of 5.28%.
Bunge Global.
The agriculture products company has been on a downward trend since late July, and today's new low places its price well below the early November low. The 50-day moving average crossed beneath the 200-day moving average in late September/early October.
The market cap is $11.05 billion. This year's earnings dropped by 31%. Over the past five years, EPS growth has been 55%. The stock trades above its book value, with a price-earnings ratio of 10. The debt-to-equity ratio is .76. Bunge pays a dividend of 3.41%.
Olin.
The stock dipped below September's low (marked by the red-dotted line) earlier in December and hit a new low today. The 50-day moving average dipped beneath the 200-day moving average in mid-July.
The chemicals company has a market cap of $3.98 billion. Olin has a price-earnings ratio of 27 and a book value multiple of 1.93. Earnings this year have taken a 75% hit, but they've grown by 12.91% over the past five years. The debt-to-equity ratio is 1.56. Olin pays a 2.39% dividend.
Textron.
The aerospace and defense company plunged below its late October low on Tuesday and subtracted another 4.95% from its price today. The 50-day moving average fell beneath the 200-day moving average in early October, referring to a weakness signal.
Textron trades with a price-earnings ratio of 16 at 2 times its book value. This year's earnings have dropped by 1.40%. Over the past five years, earnings have declined by 1.11%. The debt-to-equity ratio is .57. The company pays a .09% dividend. Market cap is $14.12 billion.
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Stats courtesy of FinViz.com. Charts courtesy of Stockcharts.com.
No artificial intelligence was utilized in the creation of this article.
- In the current financial landscape, Textron, with a market cap of $14.12 billion, is one of the major stocks currently experiencing a bear market, as indicated by its 4.95% decrease today and its 50-day moving average falling below its 200-day moving average.
- Alexandra Real Estate Equity, a real estate investment trust with a market cap of $17.11 billion, has also entered a bear market, as evidenced by its 4.28% decline today and the 50-day moving average dropping below the 200-day moving average in early November.
- Diversified investment options include large-cap stocks like Bunge Global, which has a market cap of $11.05 billion and has been in a bear market since late July, as suggested by its 50-day moving average crossing beneath the 200-day moving average in late September/early October.
- Olin, a chemicals company with a market cap of $3.98 billion, has been experiencing a bear market since mid-July, as indicated by its stock dipping below its September low and the 50-day moving average falling beneath the 200-day moving average during that period. In the context of large-cap investments, such as Textron, Bunge Global, and Olin, investors may also consider other types of investments, such as those in REITs or large-cap ETFs like S&P 500 funds, to diversify their portfolios during a bear market. Additionally, some investors might have holdings in companies like Bunge Global, Olin, or Alexandria Real Estate Equity through a mutual fund or ETF that tracks the S&P 500 or other major indexes, which may be impacted by bear market conditions.