You can argue whether investors are still in a state of euphoria over November’s elections and a series of Wall Street-friendly executive orders, or you can argue that earnings really are on the upswing. Either way, Wall Street is driving stocks higher, from small-caps to the biggest Dow Jones Industrial Average stocks.
The Dow is done flirting with 20,000. The blue-chip index has surged some 4% so far in this young year and now sits around 20,600. So it might seem silly to fight the tape and bet against the hot-running Dow Jones stocks.
But there are a few laggards in the Dow … and worse, their underperformance is nothing new.
Today, we’re going to look at three Dow Jones stocks that, despite whatever investor sentiment might otherwise suggest, have lagged the broader markets for some time now and don’t have the catalysts to change their fates.
Over the past year, the S&P 500 has put up roughly 23% gains. Over the past three years, it has averaged 12% annual gains, and that number is closer to 14% over the past five. These three Dow Jones stocks haven’t really come close.
And they probably won’t do much better looking forward.
Here’s a look at three Dow Jones stocks that will continue lagging the market going forward.