The worst ASX 200 stocks to buy and hold in July unmasked

These ASX 200 stocks didn't join in with the broader market rally in July.

| More on:
Three cute kids with mixed expressions poke their heads out from the back of a kombi.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The S&P/ASX 200 Index (ASX: XJO) gained 4.2% in July, but not all ASX 200 stocks joined in the rally.

Below, we look at three of the benchmark index's worst-performing stocks in terms of share price performance over the past month.

Three ASX 200 stocks taking a tumble in July

The third-worst ASX 200 stock on our list for July is Tabcorp Holdings Ltd (ASX: TAH).

Shares in the gambling company closed out June trading for 70 cents. On 31 July, the Tabcorp share price ended the day at 65 cents. That saw the stocks down 7.1% over the month.

The last price-sensitive news from the company was released in June. So, most of the selling in July looks to be in line with the past year's downward trend.

Despite a 0.8% rise today, the Tabcorp share price is now down almost 39.5% over the past 12 months.

Moving on to the second-worst ASX 200 stock performer in July, we have Fortescue Ltd (ASX: FMG).

The mining giant closed out June trading for $21.41 a share. Fortescue shares closed out July changing hands at $18.87, down 11.9% for the month.

Fortescue faced a number of tailwinds over the month, including seeing the iron ore price slide below US$100 per tonne towards the end of July.

On a company specific level, the miner received more negative publicity during the month relating to allegations it had hired private investigators to spy on former employees and their families. The Federal Court heard more details from both sides in July.

On 25 July, the ASX 200 stock closed down 5.5% after releasing its quarterly update. That fall came despite the miner reporting record quarterly iron ore shipments of 53.7 million tonnes, up 10% quarter on quarter.

And looking ahead to FY 2025, Fortescue forecasts record shipments with guidance of 190 million to 200 million tonnes.

The worst day of the month for shareholders arrived on 30 July, a day that saw Fortescue shares close down 10.2%. That big sell-off came following news that $1.9 billion worth of shares had just been sold at a significant discount to the prior closing price.

Which brings us to the worst-performing ASX 200 stock in July: South32 Ltd (ASX: S32).

The South32 share price closed June at $3.66 and finished July at $3.07, down 16.1% over the month.

Most of that pain came on 22 July, when South32 shares ended the day 12.6% lower.

That was the day the miner reported on its quarterly results. The quarter itself was solid, with South32 reporting copper production of 15,300 tonnes, up 10% from the prior quarter.

But investors were quick to punish the ASX 200 stock after management downgraded its production guidance for FY 2025.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Fallers

Three guys in shirts and ties give the thumbs down.
Share Fallers

Why Beach Energy, McMillan Shakespeare, News Corp, and Pilbara Minerals shares are falling today

These shares are ending the week in the red. But why?

Read more »

A young boy with a sombre face looks down at the zip fastener at the bottom of his jacket as he concentrates on unfastening the clasp.
BNPL shares

Should you buy the 34% dip on Zip shares?

After crashing 34% in a month, what’s next for Zip shares?

Read more »

A young man clasps his hand to his head with his eyes closed and a pained expression on his face as he clasps a laptop computer in front of him, seemingly learning of bad news or a poor investment.
Share Fallers

Why Beach Energy, Myer, Pexa, and Pinnacle shares are falling today

These shares are under pressure on Thursday. What's going?

Read more »

A male investor wearing a blue shirt looks off to the side with a miffed look on his face as the share price declines.
Share Fallers

Why Block, Canyon, Fisher & Paykel Healthcare, and Mesoblast shares are falling today

These shares are having a tough time on hump day. What's going on?

Read more »

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.
Share Fallers

Why Fisher & Paykel Healthcare, Magellan, Resolute Mining, and Westgold shares are sinking today

These shares are starting the week deep in the red. But why?

Read more »

plummeting gold share price
Gold

Guess which ASX 200 gold stock just plunged 12% on FY 2025 production woes

The ASX 200 gold stock is taking a sharp fall on Monday. Let’s find out why.

Read more »

Man with a hand on his head looks at a red stock market chart showing a falling share price.
Share Fallers

These were the worst performing ASX 200 shares in January 2025

These shares had a month to forget. Why were investors selling them? Let's find out.

Read more »

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.
Share Fallers

Why Magellan, Medadvisor, Origin Energy, and Pointsbet shares are tumbling today

These shares are ending the week in the red. But why?

Read more »