The S&P 500's 2.7% rise in January might not sound impressive. But for a single month, it's a great start to 2025.
Naturally, though, some stocks failed to keep up. These five were the month's worst performers.
Start Your Mornings Smarter! Wake up with Breakfast news in your inbox every market day. Sign Up For Free »
Image source: Getty Images.
Electronic Arts' (NASDAQ: EA) stock lost 16% in January after announcing its preliminary quarterly results. Management now expects a decline in live bookings after previously predicting a mid-single-digit percentage increase.
Electronic Arts produces video games for consoles, personal computers, and smartphones.
ON Semiconductor's (NASDAQ: ON) shareholders have had a rough couple of years. After dropping by about 25% in 2024, the stock fell another 17% in January.
The company provides power and sensing solutions to the automotive and industrial markets. Its results have suffered due to challenging conditions in its end markets. In 2024, revenue fell 14.2% to $7.1 billion.
Investors didn't react well to Constellation Brands' (NYSE: STZ) quarterly results. The stock price fell 18.2% for the month.
Its fiscal third-quarter sales dipped 0.3% to $2.46 billion. Constellation Brands' adjusted earnings per share were $3.25, virtually unchanged from last year's $3.24.
Constellation Brands produces beer, wine, and spirits.
PG&E (NYSE: PCG) shares declined by 22.5% in January as the market weighed how it could be affected by the California wildfires. The electricity and natural gas utility has operations in northern and central California, and outstanding legal questions about how much liability the company will bear for past fires has created substantial uncertainty about its future.
PG&E had to file for bankruptcy protection in 2019 following similarly devastating wildfires that caused deaths and loss of property.
Edison International's (NYSE: EIX) stock price was down 32.4% last month. As the parent company of utility company SCE, it provides electricity to southern, central, and coastal California.
Edison finds itself in a similar situation as PG&E. With lawsuits filed against Edison alleging blame for wildfire damage, investors will face considerable risk until litigation comes to a resolution.
Before you buy stock in Electronic Arts, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Electronic Arts wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $813,868!*
Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than quadrupled the return of S&P 500 since 2002*.
Learn more »
*Stock Advisor returns as of February 7, 2025
Lawrence Rothman, CFA has no position in any of the stocks mentioned. The Motley Fool recommends Constellation Brands, Electronic Arts, and ON Semiconductor. The Motley Fool has a disclosure policy.