Moderna, Netflix and Etsy are the worst-performing stocks in the S&P this year

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January was not kind for the stock market, with the

S&P 500
Nearly 10% losses as investors await the expected Federal Reserve rate hikes and struggle with rising bond yields.

But not all stocks have weathered the decline equally well.

Modern

(ticker:

MRNA

),

Netflix

(

NFLX

),

Etsy

(

ETSY

),

Enphase Energy

(

ENPH

), and

EPAM systems

(

EPAM

) have been particularly ravaged and have all fallen by more than 30% this year.

Moderna, one of last year’s favorite stocks, was the biggest laggard. The vaccine maker has lost 41% this year, even as Covid-19 cases rise to new heights. Moderna’s stock skyrocketed in 2021, boosted by rapid vaccination campaigns. As vaccination rates dwindled and experts began to talk about transitioning from the pandemic to an endemic phenomenon, investors pulled back, causing the company’s valuation to plummet.

“Bulls previously referred to Moderna as the ‘Tesla of Biotech,’ meaning the stock story dominated valuation assumptions, but now the latter seems more reasonable,” BofA analyst Geoff Meacham wrote in a research note.

Netflix’s decline isn’t far behind, with its share falling 38.4%. The stock has been struggling for months with competitors starting to crowd the streaming market. The company’s fourth-quarter earnings dealt an additional blow as Netflix missed subscriber estimates and issued guidelines that scared investors.

For the fourth quarter, Netflix added 8.3 million users, below the company’s target of 8.5 million. It expects to add just 2.5 million subscribers in the first quarter and forecasts narrower margins for 2022 than in 2021.

Etsy is down 36.3% this year, falling prey to the general bad sentiment for growth stocks that has plagued technology on a large scale. Investors were concerned that the craft market would struggle to sustain pandemic-driven growth. But sentiment around the stock could change as the lower valuation may appeal to some buyers, analysts say.

Last week, KeyBanc analyst Edward Yruma upgraded Etsy to Overweight from Sector Weight, seeing an opportunity for the company to triple its revenue over the long term.

“On both fronts, we think ETSY scores very well,” he wrote in a research note. “We believe that ETSY has made significant progress in reducing friction for buyers.”

Solar specialist

Enphase Energy

and software developer

EPAM systems

have also had a difficult year, with a decline of 34.7% and 33.3% respectively.

Write to Sabrina Escobar at [email protected]