The stock market is attempting to rebound with the S&P 500 1% off its all-time highs. However, there’s much more weakness under the surface with many stocks off by 20 to 40% over the last few weeks.
The POWR Ratings are one way to stay on top of the market and identify which stocks are most vulnerable to more selling.
Without further ado, let’s take a look at three of the latest POWR Ratings downgrades: Agora (API), Hyliion Holdings (HYLN), and MongoDB (MDB).
Agora (API)
API’s business is selling Platform-as-a-Service highlighted by real-time user engagement. This Shanghai, China-based company makes it that much easier for developers to use software tools to embed communication functions and real-time video into applications.
API has an F grade in the Value component of the POWR Ratings along with a D grade in the Quality component. Click here to find out how API grades out in the Momentum, Sentiment, Stability, and Growth components.
Of the 114 publicly traded companies in the Software – Application space, API is ranked 102. You can learn more about the stocks traded in this space by clicking here. Though API has a year-to-date price return of 49.54%, the stock’s one-month price return is -39.68%.
The top analysts have established an average target price of $56.60 for API, indicating it has a nearly 7% downside. The lowest analyst target price for the stock is $42. Now that the pandemic appears to finally be coming to an end, the video engagement tools provided by the likes of API are not as coveted as they were in months prior.
Hyliion Holdings (HYLN)
HYLN’s electrified powertrain technology for big rigs might make a meaningful impact on the trucking industry in the future though it will take some time to get there. HYLN’s solutions include proprietary batteries for trucks, integrated electric motors, and more, ultimately culminating in fully electric powertrain systems. In short, HYLN is attempting to make the trucking industry that much greener.
HYLN has a B grade in the Momentum component of the POWR Ratings along with a C grade in the Quality component and Ds in the Sentiment and Stability components. You can find out how HYLN fares in the Value and Growth components of the POWR Ratings by clicking here.
HYLN has a -19.54% return year-to-date along with a six-month price return of -70.44%. Of the 21 companies in the Trucking Freight industry, HYLN is ranked 21st. Click here to find out more about the stocks in the Trucking Freight industry.
MongoDB (MDB)
MDB’s database platform consists of a wide variety of products to serve those in the healthcare, financial services, technology, retail, media, telecommunications, entertainment, and government sectors. Based in the Big Apple, MDB has struggled across the past month, hitting $398 only to decline all the way down to $287. The stock is now trading around $309.
MDB has D grades in the Quality, Sentiment, Growth, and Stability components of the POWR Ratings. Investors who would like to learn how MDB fares in the Momentum and Value components of the POWR Ratings can find out by clicking here.
Of the 114 stocks in the Software – Application space, MDB is ranked 104th. Click here to learn more about the stocks in the Software – Application space.
MDB executives’ reduced guidance for the year ahead has some Wall Street analysts a bit spooked. Add in the fact that MDB is nowhere near profitability and there is even more reason for concern.
The bottom line is MDB’s disruptive ways can only carry the tech company so far. MDB’s brass insists the company will have a loss of around $80 million all the way through 2022. This is concerning as the company had a loss of around $58 million in the year prior.
Want More Great Investing Ideas?
How to Ride the NEW Stock Bubble?
9 “MUST OWN” Growth Stocks for 2021
HYLN shares were trading at $12.68 per share on Tuesday morning, down $0.58 (-4.37%). Year-to-date, HYLN has declined -23.06%, versus a 4.92% rise in the benchmark S&P 500 index during the same period.
About the Author: Patrick Ryan
Patrick Ryan has more than a dozen years of investing experience with a focus on information technology, consumer and entertainment sectors. In addition to working for StockNews, Patrick has also written for Wealth Authority and Fallon Wealth Management. More...
More Resources for the Stocks in this Article
Ticker | POWR Rating | Industry Rank | Rank in Industry |
HYLN | Get Rating | Get Rating | Get Rating |
MDB | Get Rating | Get Rating | Get Rating |
API | Get Rating | Get Rating | Get Rating |