2 Holdings to Reduce Based on Analyst Recommendations

Analysts recommend a moderate sell for Novozymes and Teradata

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As of Nov. 5, shareholders of Novozymes A/S (NVZMY, Financial) and Teradata Corporation (TDC, Financial) have seen their holdings underperforming severely compared to the S&P 500 index over the past several years. Shareholders are not happy because their holdings in these stocks either missed the S&P 500 index yield of 1.86% as of Tuesday or do not pay dividends.

The share price of these stocks is predicted to continue to trade lower, as analysts on Wall Street have issued a moderate sell recommendation rating for them. Thus, current investors may want to consider reducing their positions.

Novozymes A/S

The share price of Novozymes A/S has underperformed the S&P 500 index by 14.3% so far this year, by 17.3% over the last 52 weeks and by 47% over the past five years.

The Danish global producer and seller of industrial enzymes and microorganisms closed at $47.44 per share on Tuesday for a market capitalization of $13.4 billion. The stock has a price-sales ratio of 6.27 versus the industry median of 1.

Novozymes paid 76 cents annual dividend per common share on March 19 earlier this year, generating a dividend yield of 1.61%, which is below the industry median of 2.09% in the Chemicals industry.

The 14-day relative strength index of 67 indicates the stock is neither oversold nor overbought

Wall Street analysts have issued a moderate sell recommendation for shares of Novozymes A/S.

Teradata Corporation

The share price of Teradata Corporation has underperformed the S&P 500 index by 42% year to date, by 28% over the last 52 weeks and by 82% over the past five years.

The San Diego, California-based provider of hybrid cloud analytics software closed at $30.45 per share on Tuesday for a market capitalization of $3.47 billion. The stock has a price-earnings ratio of 169.17 versus the industry median of 25.02.

Teradata Corporation does not pay a dividend.

The 14-day relative strength index of 54 indicates the stock is neither overbought nor oversold.

Wall Street analysts issued a moderate sell for shares of Teradata Corporation.

Disclosure: I have no positions in any securities mentioned.

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