LEGGETT & PLATT INC delivered massive losses on Thursday. It lost -2.42% to close at 36.64. On a day when the overall market breadth was 35%, it closed higher than 13% of the market. In comparison, the benchmark SP500 index closed today at -0.0002%.
LEG is currently in a down trend. Over the last three months 2 bearish signals have generated a profit of +12.61% for investors.
LEG has been underperforming the SP500 index in recent time, after having outperformed till 28 Jul, 2016. Over the last 2 years 11 months and 9 days, LEG underperformed the SP500 index on 49% days. Which indicates that on days LEG underperforms the SP500 index, it's performance is marginally worse than on the days it outperforms the SP500 index.
LEG returned losses on 64% days in the last three months. During this time, it delivered on average -0.35% per day. It delivered it's worst daily return of -9.79%, during this period, on Friday, 26 Oct, 2018. There was initially a bearish trend during this period which started on 19 Sep, 2018 and went on till 27 Sep, 2018. The trend delivered -5.14% losses to investors. This was followed by a bullish trend that started on 30 Oct, 2018 and ended on 2 Nov, 2018. This bullish trend delivered +9.88% to investors.
LEG had 5 profitable and 7 loss making months over the last year. During the last year, LEG underperformed SP500 index on monthly return basis. LEG was also a more risky investment than SP500 index as it's worst month in the last year, Oct 2018, returned -16.78% compared to -7.28% returned by SP500 index in Oct 2018. LEG had a shorter streak of profitable months than SP500 index. It only went up in 2 straight months during the last year.
Annual income twenty pounds, annual expenditure nineteen six, result happiness. Annual income twenty pounds, annual expenditure twenty pound ought and six, result misery.
-- Charles Dickens
LEG is becoming less volatile overall. In comparison, the SP500 index is seeing a rise in volatility. During the last three months, there was a significant surge in LEG's volatility from 14 Sep, 2018 to 30 Oct, 2018. While there was a significant surge in the SP500 index's volatility from 14 Sep, 2018 to 29 Oct, 2018.
Advanced/professional short-term investors should note that LEG has significant positive skewness in it's return distribution. This indicates that investors can expect LEG to recover from drawdowns quickly. Which makes LEG a good candidate for investing on short-term bullish trends or even counter-trends hoping for a pull-back.
Based on your interest in LEG you may find it interesting to know that BURL is a small cap that has shown remarkable performance and deserves to be on every investors' watchlist.
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