Should You Buy the 3 Worst-Performing Nasdaq-100 Stocks in 2025?
Sunday, Mar 30, 2025 6:48 am ET
Listen up, folks! We're in the thick of 2025, and the Nasdaq-100 is feeling the heat. The index is down about 8.4% this year, and some of the biggest names are taking a beating. But here's the thing: sell-offs can be golden opportunities. So, let's dive into the three worst-performing stocks in the Nasdaq-100 this year and see if they're worth your hard-earned cash.
the trade desk (TTD) - Down Nearly 53% in 2025
BOOM! The Trade Desk is the biggest loser in the Nasdaq-100 this year, down nearly 53%. The main culprit? A fourth-quarter revenue miss that sent the stock spiraling. oppenheimer analyst Jason Helfstein blamed it on slower adoption of their next-gen platform Kokai. But here's the kicker: The Trade Desk controls $12 billion of ad spend in a $1 trillion market. That's a massive opportunity!
Why You Should Consider It:
- Growth Potential: If they can get Kokai and their reorganization back on track, this stock could be a rocket ship.
- Valuation: The forward P/E ratio is 33, way down from its peak. That's a bargain for a company with this much potential.
Why You Should Be Cautious:
- Economic Downturn: Ad spending can get hit hard in a recession, and the economy is showing cracks.
- Integration Issues: Kokai and the reorganization are still works in progress. Any delays could be disastrous.
marvell technology (MRVL) - Down Nearly 44% in 2025
Marvell Technology is another big loser, down nearly 44%. The stock got hammered after disappointing guidance following its Q4 earnings. But here's the thing: Marvell actually had a pretty good quarter. They beat analyst estimates for both revenue and earnings. The market just wanted more.
Why You Should Consider It:
- Custom Chip Business: Marvell's custom chip business could be a game-changer if it delivers on its potential.
- AI Sector: The company's involvement in the AI sector, which is a growing market, could drive future growth.
Why You Should Be Cautious:
- Market Expectations: Marvell's stock has been trading at high valuations, and any miss on expectations can lead to significant sell-offs.
- Economic Sensitivity: The semiconductor industry is highly sensitive to economic cycles, and a downturn could impact Marvell's performance.
Tesla (TSLA) - Down Nearly 35% in 2025
Tesla might be the most controversial stock on this list. CEO Elon Musk's involvement in U.S. government operations and his public comments have spooked investors. But here's the thing: Tesla is still a leader in the electric vehicle market, which is expected to grow significantly in the coming years.
Why You Should Consider It:
- Innovation: Tesla's continued innovation in electric vehicles and other technologies could drive future growth.
- Market Leadership: Tesla remains a leader in the electric vehicle market, which is expected to grow significantly in the coming years.
Why You Should Be Cautious:
- Political Risks: Musk's political involvement and public comments could continue to impact Tesla's stock performance.
- Market Sentiment: Tesla's stock is highly sensitive to market sentiment, and any negative news could lead to significant sell-offs.
The Bottom Line
Listen, folks, these stocks are risky. But so is every investment. The key is to do your homework and make informed decisions. The Trade Desk, Marvell Technology, and Tesla all have significant growth potential, but they also come with their own set of risks. So, do your due diligence, and if you're comfortable with the risks, these could be great opportunities to buy low and sell high.
But remember, this is your money. Don't just take my word for it. Do your own research and make the decision that's right for you. And always, always, always stay informed. The market is a beast, and it's up to you to tame it.
So, are you ready to take the plunge? Or are you going to sit on the sidelines and watch the action from the cheap seats? The choice is yours. But one thing is for sure: the Nasdaq-100 is full of opportunities, and these three stocks are just the tip of the iceberg. So, get out there and make some money!
Ask Aime: What should I do with my shares of Trade Desk, Marvell Technology, and Tesla?