6 Underperforming Stocks in Gurus' Portfolios

Macy's tops the list

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Jul 30, 2019
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While gurus hold positions in these companies, the share prices and returns continue to fall. The following are the worst-performing stocks over the past six months with a long-term presence in more than five gurus' portfolios.

Shares of Macy's Inc. (M, Financial) declined 8.85% over the past six months. The stock is held by 15 gurus.

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The department store chain has a $7.01 billion market cap. The stock was trading with a price-earnings ratio of 6.39. As of Tuesday, the share price of $22.69 was 46.46% below the 52-week high and 12.29% above the 52-week low.

Over the last 10 years, the stock has climbed 63.12%. The return on equity of 18.30% and return on assets of 5.57% are outperforming 55% of companies in the Retail - Apparel and Specialty industry.

The company's largest guru shareholder is the Yacktman Fund (Trades, Portfolio) with 1.94% of outstanding shares, followed by Jim Simons (Trades, Portfolio)’ Renaissance Technologies with 1.17% and the Yacktman Focused Fund (Trades, Portfolio) with 1.13%.

East West Bancorp Inc. (EWBC, Financial) is held by nine gurus. The stock tumbled 6.71% over the past six months.

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The bank has a market cap of $7.00 billion. The stock was trading with a price-earnings ratio of 10.69. As of Tuesday, the share price of $48.09 was 27.62% below the 52-week high and 19.68% above the 52-week low. Over the past decade, the stock has climbed 444%.

The return on equity of 14.90% and return on assets of 1.62% are outperforming 80% of companies in the Banks industry.

With 1.39% of outstanding shares, Ken Fisher (Trades, Portfolio) is the company's largest guru shareholder, followed by Simons’ firm with 0.22% and Pioneer Investments (Trades, Portfolio) with 0.14%.

Shares of ANGI Homeservices Inc. (ANGI, Financial) declined 13.09% over the past six months. The stock is held by three gurus.

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The company has a market cap of $7 billion. The stock was trading with a price-earnings ratio of 72.68. As of Tuesday, the share price of $13.81 was 42.34% below its 52-week high and 9.43% above its 52-week low. Over the past decade, it has lost 15%.

The return on equity of 8.24% and return on assets of 5.76% are underperforming 66% of companies in the Online Media industry.

The company's largest guru shareholder is Simons’ firm with 0.27% of outstanding shares, followed by Ron Baron (Trades, Portfolio) with 0.26% and Joel Greenblatt (Trades, Portfolio)’s Gotham Asset Management with 0.01%.

Shares of SL Green Realty Corp. (SLG, Financial) declined 8.06% over the past six months. Seven gurus hold the stock.

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The real estate invesmtent trust has a market cap of $6.68 billion. The stock was trading with a price-earnings ratio of 29.37. As of Tuesday, the share price of $81.07 was 23.90% below the 52-week high and 5.60% above the 52-week low. Over the last 10 years, it has returned a gain of 214.47%.

The return on equity of 3.84% and return on assets of 1.93% are underperforming 85% of companies in the REIT industry.

With 1.54% of outstanding shares, the T Rowe Price Equity Income Fund (Trades, Portfolio) is the company's largest guru shareholder, followed by Pioneer Investments with 0.50% and Paul Tudor Jones (Trades, Portfolio) with 0.11%.

PVH Corp. (PVH, Financial) declined 17.67% over the past six months. The stock is held by 12 gurus.

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The company, which markets a portfolio of leading lifestyle brands, has a $6.67 billion market cap. The stock was trading with a price-earnings ratio of 10.55. As of Tuesday, the share price of $89.08 was 43.18% below the 52-week high and 8.56% above the 52-week low. Over the past decade, it has grown 151%.

While the return on equity of 11.43% is outperforming the sector, the return on assets of 5.37% is underperforming 52% of companies in the Manufacturing - Apparel and Furniture industry.

The company's largest guru shareholder is Richard Pzena (Trades, Portfolio) with 2.59% of outstanding shares, followed by Simons' firm with 1.73%, Pioneer Investments with 0.82% and Ray Dalio (Trades, Portfolio)’s Bridgewater Associates with 0.37%.

Shares of Israel Chemicals Ltd. (ICL, Financial) declined 7.19% over the past six months. The stock is held by four gurus.

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The minerals company has a market cap of $6.61 billion. The stock was trading with a price-earnings ratio of 10.45. As of Tuesday, the share price of $5.24 was 24.06% below the 52-week high and 11.49% above the 52-week low. Over the last 10 years, it has returned a gain of 53.21%.

The return on equity of 11.89% and return on assets of 5.33% are outperforming 50% of companies in the Agriculture industry.

With 0.42% of outstanding shares, First Eagle Investment (Trades, Portfolio) is the company's largest guru shareholder, followed by Jeremy Grantham (Trades, Portfolio) with 0.17%.

Disclosure: I do not own any stocks mentioned.

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