Q1 2014 Comparison & March Reversal Stocks List
2014 vs. Other Years During the Bull Market
Coming off a year that saw the S&P 500 (SPX) (SPY) gain nearly 30%, the market took a breather in the first quarter of 2014. Actually, it was the weakest first quarter we've seen during the current bull market.
Below is a chart showing the S&P 500's performance in Q1 of each year going back to 2010. The bull market began on March 9th, 2009, so 2009 is not included.
2014 was tracking very similarly to 2010 until the end of February when the two years began to diverge. In 2010, the S&P continued sharply higher in March, while this year the index traded sideways.
SPX 1st Quarter Chart
For more perspective, below is a chart showing the S&P 500's performance during each full year of the current bull market, with the first quarter of 2014 included as well.
SPX Yearly Chart
Roller Coaster Quarter
While the major averages were little changed in Q1, for some stocks there were swings of monumental proportions. In the Russell 1000 alone, there were 22 stocks in the index that fell more than 10% in the month of March but managed to post gains for the first quarter! This is the Russell 1000 we're talking about, which is made up of large cap stocks. If you look into smaller and mid cap stock universes, there would be loads more examples.
The table below lists the 22 names in the Russell 1000 that fit the criteria mentioned above. Looking at the list there are numerous high profile names worth highlighting. Holders of FireEye (FEYE) had a rough month as the stock traded down 28% in March. Before you shed much in the way of tears, though, keep in mind that the stock was still up over 40% for the quarter!
Perhaps no one has had quite the first quarter that Elon Musk has had. Shares of Tesla (TSLA), where he is the founder, chairman, and CEO, traded down 15% in March, while shares of SolarCity (SCTY), where he is chairman, also traded down 26%. Both of those declines are painful, but even after the declines, TSLA rallied 39% in the quarter while SCTY gained 10%. Not a bad quarter after all!
March Reversal Stocks
Courtesy of BespokeInvest