The Dow Jones Industrial Average has not yet joined the “new highs” crowd. Although the S&P 500 and the Nasdaq 100 achieved it last week, the 30 equities known as “Dow Industrials” failed to get there. One reason is that these five stocks – all DJIA components – have been dropping in price, not rising.
Each one has an individual story but it’s probably worth noting that 16.67% of the big index is pulling down the overall average. It’s enough of a weight that the other stock market indexes have pulled ahead and left the Industrials behind. Inflationary expectations and lack of an interest rate cut may be hitting harder for these 5.
5 Dow Jones Industrial Stocks In Price Drops
Apple
The price hit $260 in late December 2024 and that’s been the peak. By early April, the stock had tanked to just below $170. A rally took it up to the $215 level but buyers seem reluctant to move Apple higher than that. The 50-day moving average crossed below the 200-day moving average in early April. The stock closed above the 50-day on the last day of June.
Salesforce
The software application company peaked in early December 2024 at just above $365. Selling took it down for a few weeks and then the stock hit the $365 mark again, briefly. The sell-off into early April took the price down to $230 before buyers showed up. The 50-day moving average crossed below the 200-day moving average in mid-April.
Home Depot
The price reached above $430 in late November 2024 and in early December 2024 but it’s been down since then. It rallied off of the early April low and briefly popped above the 200-day moving average in mid-May, hitting just above $385. The 50-day moving average appears to trending upward and Home Depot closed above it on the last three days of June.
Merck
The stock of the pharmaceutical company is not helping the Dow Jones Industrial Average at all. Take a look at the relentlessness in downward direction of the 200-day moving average. The price has traded below it for the entire period shown on this chart. Merck in June has managed to move above the 50-day moving average for most of the month but refuses to take off above the late April high.
Unitedhealth Group
This huge health insurance company with a market cap of $283 billion is the one component pulling down the Dow the most. The stock traded at just under $620 in November 2024 and now goes for $311. That’s practically a 50% slide. The 50-day moving average crossed below the 200-day moving average in late January 2025 providing a warning of sorts.
Stats courtesy of FinViz.com. Charts courtesy of Stockcharts.com.
No artificial intelligence was used in the writing of this post.
More analysis and commentary at johnnavin.substack.com.
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