Stocks Near Pre-COVID Highs - Thursday, May 12

Yesterday, we outlined the percentage of stocks in each S&P 500 sector that were below their pre-COVID highs to show that many of the stocks that surged due to pandemic effects have significantly fallen off, netting long-term holders a negative return since the onslaught of the pandemic. Yesterday, the S&P 500 by 1.6% to a new 52-week low on a closing basis, but the index was still up over 15% relative to the pre-COVID highs. Along with this move from the broader index, three stocks broke below their pre-COVID highs for the first time. As things currently stand, 41.2% of S&P 500 members are now below their pre-COVID highs, and an additional 18 stocks (3.6% of members) are just 2% or less above their closing high prices between the start of 2019 and the end of February 2020.

The three stocks that broke their pre-COVID highs for the first time since surpassing these levels in the midst of the bull run are Amazon (AMZN), PNC Financial (PNC), and one other. AMZN has had a rough go of it ever since it reported earnings in late April, while PNC and BAC have moved lower alongside a sell-off in the broader financial sector. The six-month price charts of these three names are outlined below.  

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As mentioned above, there are 18 stocks that were trading within 2% of their pre-COVID highs as of yesterday’s close, and charts of each one are highlighted below. Looking through them, some have already traded well below their pre-COVID highs but have since rebounded while a number of others haven’t traded at these levels in months. In fact, six of them closed at new six-month lows yesterday (AOS, BR, LEN, MGM, NVR, and SYK).

(Click on image to enlarge)