Why ConforMIS Inc (CFMS), Nordstrom, Inc. (JWN) and Vale SA (ADR) (VALE) Are 3 of Today’s Worst Stocks

Friday’s early bullishness soon gave way to a bigger bearish trend that took hold on Wednesday. April’s surprisingly decent retail sales fueled the trend, as they will make it slightly easier for Janet Yellen to raise interest rates in the near future. By the time the closing bell rang, the S&P 500 was at 2046.61, down 0.85%, and below a couple of key technical levels.

Why ConforMIS Inc (CFMS), Nordstrom, Inc. (JWN) and Vale SA (ADR) (VALE) Are 3 of Today's Worst StocksLeading the bearish charge on Friday were ConforMIS Inc (NASDAQ:CFMS), Nordstrom, Inc. (NYSE:JWN) and Vale SA (ADR) (NYSE:VALE).

Here’s a closer look at what tripped each one up.

ConforMIS Inc (CFMS)

ConforMIS lost a stunning 49% of its value today on a cut of its second quarter guidance and surprising news it was looking for a new CEO.

ConforMIS, which manufactures replacement joints, posted a loss of 37 cents per share last quarter, but that still topped expectations for a loss of 38 cents per share of CFMS. Better still, sales of $20.3 million handily topped the expected $19.2 million.

The trouble for CFMS stemmed from the company’s revised full-year outlook. The previous revenue guidance of $84 million to $87 million was pared back to only a range of $76 million and $81 million. Analysts had been modeling average revenue of $85.8 million.

To what extent the reined-in sales guidance is related isn’t clear, but the company also announced it was beginning a hunt for a new CEO in accordance with its succession plan. Current CEO Philipp Lang will remain on board until a replacement is found, but the planned move still posed a disruption to CFMS shareholders.

Nordstrom, Inc. (JWN)

Already sitting in a shadow of doubt after several other retailers reported alarmingly tepid first-quarter numbers — and offered similarly tepid guidance — retailer Nordstrom made for an easy target today after posting its weak Q1 numbers after the closing bell rang on Thursday.

Last quarter, Nordstrom earned 26 cents per share on revenue of $3.25 billion. The top line just missed expectations of $3.28 billion, but the bottom line missed profit expectations of 46 cents per share of JWN by a wide margin. Overall, sales grew 2.5%, but same-store sales slumped 1.7%. The company also lowered its full-year earnings and gross-margin guidance.

JWN shares lost 13% of their value on Friday.

Vale SA (ADR) (VALE)

Between yet-another round of weakness for commodities and yet another batch of drama surrounding the impeachment proceedings for Brazilian President Dilma Rousseff (Vale calls Brazil home), VALE investors decided there was no reason to continue holding the stock through the weekend, as anything could happen between today’s close and Monday’s open.

The U.S. dollar’s sizable gain today sent steel prices tumbling down even more than they may have following reports of a continued glut from China.

In the meantime, Brazil’s lawmakers have voted to move forward with the impeachment of President Rousseff, for corruption, suspending her while the proceedings take place. Though the legal process won’t directly affect Vale, the recession-torn country now dealing with potential political upheaval creates anything but an environment of reliable economic stability.

VALE ended the day down 7%.

As of this writing, James Brumley did not hold a position in any of the aforementioned securities.

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Article printed from InvestorPlace Media, https://investorplace.com/2016/05/cfms-jwn-vale-3-todays-worst-stocks/.

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