As December approaches, funds tend to shed the holdings that have performed the weakest throughout the year. Perhaps to avoid embarrassment during year-end reviews. For investors seeking turnaround opportunities, these sales could create potential openings.
Placera, with the assistance of the ownership service Holdings, has identified the stocks at risk of selling pressure in the upcoming week. The criteria include funds owning at least 5% of the capital and the stock price having dropped by at least 40% this year.
After the screening, 49 companies remain on the Stockholm Stock Exchange. Among them are prominent companies like Intrum, Better Collective, SSAB, Sinch, Nibe, and Dometic. Credit management firm Intrum is down by 60% this year with a fund ownership of over 12%. In Nibe, both the fund ownership and this year’s price decline amount to approximately 40%.
The situation becomes even more dire when looking at the smaller lists. Scandion Oncology, Fingerprint Cards, Episurf, Nanologica, and SyntheticMR have all plummeted by over 80%.
### Year’s Biggest Losers with Significant Fund Ownership
| Company Name | Price Development | Fund Ownership | List |
|—————————-|——————-|—————–|————————-|
| Scandion Oncology | -92.7% | 10.1% | First North Stockholm All |
| Fingerprint Cards | -89.1% | 5.5% | Small Cap Stockholm |
| Episurf Medical | -83.2% | 7.8% | Small Cap Stockholm |
| Nanologica | -82.7% | 5.7% | Small Cap Stockholm |
| SyntheticMR | -81.9% | 15.4% | Spotlight Sweden |
| ADDvise Group | -77.4% | 22.7% | First North Stockholm All |
| Kjell Group | -74.1% | 16.1% | First North Stockholm All |
| Oncopeptides | -72.1% | 10.2% | Small Cap Stockholm |
| ExpreS2ion Biotech Holding | -70.1% | 5.3% | First North Stockholm All |
| Freemelt Holding | -69.8% | 5.1% | First North Stockholm All |
The list goes on, showcasing the significant downturn in various companies with substantial fund ownership. From BrainCool to Sinch to Dometic Group, the market has experienced a wave of underperformance and selling pressure.
Source: Holdings
By delving into the nuances of these struggling companies, investors may uncover hidden gems poised for a rebound. While the mass exodus of funds may spell trouble for some, savvy investors could see this as an opportunity to capitalize on undervalued assets. As the year draws to a close, the stock market landscape is ripe with potential for those willing to take the risk and bet on the turnaround stories of tomorrow.