Weekly Market Update: Stocks Flat as Healthcare Rises, Communication Services Fall

Stock Market Performance Summary

Morningstar US Total Market Index Performance

• Week ended Oct. 30: -0.42%
• Quarter to date: 1.04%
• Year to date: 12.80%
• Trailing 12 months: 12.10%

Sector and Style Performance for the Week Ended Oct. 30

• The best-performing sectors were healthcare, up 3.06%, and utilities, up 2.00%.
• The worst-performing sectors were communication services, down 5.47%, and technology, down 1.80%.
• Large-cap stocks fell 0.63%, mid-cap stocks rose 0.84%, and small-cap stocks rose 1.08%.
• Growth stocks fell 1.78%, blend stocks fell 0.44%, and value stocks rose 1.25%.

Other Key Stats

• The S&P 500 fell 0.57%, and the Nasdaq fell 2.00%.
• Of the 878 US-listed companies covered by Morningstar, 542, or 62%, were up, one was unchanged, and 335, or 38%, were down.

Bonds and Commodities

• Yields on 10-year US Treasury notes fell to 4.94% from 5.00%.
• Yields on 2-year US Treasury notes fell to 4.56% from 4.69%.
• West Texas Intermediate crude prices fell 0.41% to $103.02 per barrel.
• Comex Gold prices fell 2.88% to $3,879.30.

Top Stock Gainers

Herc Holdings HRI, Hayward Holdings HAYW, Wingstop WING, Range Resources RRC, and Pentair PNR were the top performers among US-listed stocks covered by Morningstar analysts.

• Herc topped the list, rising 29.22% for the week and 22.12% over the past three months. This no-moat company with a 3-star rating is up 24.76% over the past 12 months. The stock closed the week at $165.54, trading near its fair value estimate of $173.00 per share.
• Hayward was the second-best performer, gaining 27.23%. The 4-star stock is up 2.1% over the last three months. Shares in this narrow-moat company are down 9.32% over the past 12 months. Hayward stock wrapped up the week at $16.12, trading at a 16% discount to its fair value estimate of $18.50 per share.
• Wingstop came in third, rising 25.36%. The 3-star, narrow-moat stock gained 4.50% over the last three months but fell 39.56% over the past 12 months. Wingstop closed at $149.86, trading at a 7% premium to its fair value estimate of $136.00 per share.
• The fourth-best-performing stock was no-moat Range Resources, which gained 20.01%. The 4-star stock is up 35.28% over the last three months and 55.13% over the past 12 months. Range Resources finished the week at $54.63, trading at an 18% discount to its fair value estimate of $66.00 per share.
• Pentair stock climbed 19.82% in the latest week. This narrow-moat company has decreased 0.72% over the last three months and 37.82% over the past 12 months. The 5-star stock ended the week at $66.26 per share, trading at a 28% discount to its fair value estimate of $91.00.

Top Stock Losers

Bank Bradesco BBD, Reddit RDDT, ServiceNow NOW, Alnylam Pharmaceuticals ALNY, and Itaú Unibanco Holding ITUB did the worst among US-listed stocks covered by Morningstar analysts.

• Bank Bradesco was the worst-performing stock of the week, falling 37.35%. This 4-star, no-moat company fell 23.33% over the past three months and 16.23% over the past 12 months. The stock ended the week at $2.55, trading at a 29% discount to its fair value estimate of $3.69 per share.
• Reddit was the second-worst performer this week, with a 36.41% decline. The narrow-moat company, rated 4 stars, is down 27.19% over the past three months and 38.51% over the past 12 months. Closing at $91.73, the stock trades at a 35% discount to its fair value estimate of $200.00 per share.
• ServiceNow came in third, down 33.83% this week. This 4-star, narrow-moat company fell 5.26% over the past three months and 39.85% over the past 12 months. The stock finished the week at $105.19, trading at a 34% discount to its fair value estimate of $165.00 per share.
• Next up is Alnylam, which saw its stock price fall by 26.33% this week. The narrow-moat company with a 4-star rating fell 39.29% over the past three months and 63.87% over the past 12 months. At $165.00, the stock trades at a 42% discount to its fair value estimate of $299.00 per share.
• Itaú Unibanco rounds out the list with a 26.27% decline this week. This 3-star, no-moat company fell 9.44% over the past three months but rose 11.30% over the past 12 months. The stock closed the week at $7.13, trading near its fair value estimate of $7.70 per share.

Highlights of This Week’s Market and Investing Events

• Monday, Nov. 2: September Construction Spending, October ISM Manufacturing, earnings from Apple AAPL, Palantir Technologies PLTR
• Tuesday, Nov. 3: September Job Openings and Labor Turnover Survey, earnings from Energy Transfer ET, Pfizer PFE
• Wednesday, Nov. 4: October ADP Employment Survey, October ISM Services PMI, earnings from CVS Health CVS, Uber Technologies UBER, Snap SNAP
• Thursday, Nov. 5: Initial Unemployment Insurance Claims report, earnings from Albemarle ALB
• Friday, Nov. 6: October Employment Situation Report, November Preliminary University of Michigan Index of Consumer Sentiment, September Consumer Credit