Thanks to a late-day sell-off Thursday (Dec. 21), the Dow Jones Industrial Average just missed yet another record-high close. Even so, this illustrious index has already logged an incredible 70 record-high closes in 2017, more than in any other year in its 122-year history.
But even with the market soaring in 2017, there are still some dogs that don’t deserve any space in your portfolio. And we’ve pinpointed four stocks to avoid in 2018 for readers today…
Right now, the S&P 500 is on track to close higher in all 12 months this year. That has not happened in any year in history.
And let’s not forget the power of big, round numbers to attract investors. The Dow Jones Industrial Average is a whisker away from 25,000, its potential sixth millennial mark – another record. But if you own any of the four worst stocks we’re discussing today, your gains in 2017 could be seriously muted.
The Nasdaq kissed the 7,000 level for the first time this week before pulling back a bit. It also has 71 record-high closes for the year, even beating out the roaring 1990s, when it notched only 62 new highs in 1999.
More importantly, the Dow is up 25.1% year to date, the S&P 500 up 19.6%, and the tech-heavy Nasdaq tacked on a whopping 29.3%.
That is one powerful bull market. But as the old year turns into the new, it is time to cut loose any losing stocks you might have.
We still very much believe that the road to wealth is paved with technology. The Nasdaq’s 2017 performance speaks for itself.
Michael A. Robinson just identified four beaten down or highly volatile tech stocks that are “must-avoids” in 2018.
It is always tempting to bottom fish stocks that once traded at much higher levels. Sometimes, the companies have started to right their sinking ships with new plans, financing, and direction. However, that is not always the case. Some companies are heading for bankruptcy. Some are heading toward simply disappearing in a cheap buyout by one of their healthier peers.
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