For the week, the worst sectors according to Portfolio Grader are the reit, water utilities, independent power and renewable electricity producers, metals and mining and energy services sectors.
The reit sector is lagging this week with 79% of its stocks (126 out of 160) rated a “sell”. Among reit stocks, Hatteras Financial (HTS), DDR Corp. (DDR) and Health Care REIT, Inc. (HCN) are lingering near the bottom with grades of F. Over the last 12 months, Hatteras Financial is the worst performer in this sector, with a 28.8% decline.
The water utilities sector is trailing behind others this week, with 67% of its stocks (4 out of 6) rated a “sell”. Out of the water utilities stocks, Companhia de Saneamento Basico do Estado de Sao Paulo SABESP Sponsored ADR (SBS), SJW Corp. (SJW) and Aqua America, Inc. (WTR) are near the bottom with D’s. Companhia de Saneamento Basico do Estado de Sao Paulo SABESP Sponsored ADR is the worst stock in its sector, with the company’s share price falling 83% in the last 12 months.
With 67% of its stocks (6 out of 9) rated “sell,” the independent power and renewable electricity producers sector is struggling this week. TransAlta Corporation (TAC), Empresa Nacional de Electricidad S.A. Sponsored ADR (EOC) and Calpine Corporation (CPN) are dragging down the sector overall, each earning a low grade of F. Overall, TransAlta Corporation is the poorest performer in this sector. Its share price has dropped 41.9% in the last 12 months.
The metals and mining sector is dragging, with 66% of its stocks (61 out of 92) rated a “sell”. Newmont Mining Corporation (NEM), Gold Fields Limited Sponsored ADR (GFI) and Schnitzer Steel Industries, Inc. Class A (SCHN) are all currently earning F’s. Gold Fields Limited Sponsored ADR is the worst performer in this sector, with a 73.5% decline in the last 12 months.
The energy services sector looks weak, with 60% of its stocks (38 out of 63) rated a “sell”. With an overall grade of F, McDermott International, Inc. (MDR), ION Geophysical Corporation (IO) and Tidewater (TDW) are weighing down the sector. ION Geophysical Corporation is the worst stock in its sector, with the company’s share price falling 34.1% in the last 12 months.
Louis Navellier’s proprietary Portfolio Grader stock ranking system assesses roughly 5,000 companies every week based on a number of fundamental and quantitative measures. Stocks are given a letter grade based on their results — with A being “strong buy,” and F being “strong sell.” Explore the tool here.