It may be time to hit the sell button on Temple & Webster Group Ltd (ASX: TPW) and James Hardie Industries PLC (ASX: JHX) shares.
That's according to DP Wealth Advisory's Andrew Wielandt (courtesy of The Bull).
Both S&P/ASX 200 Index (ASX: XJO) stocks have come under heavy selling pressure over the past year.
Recently trading at $4.84, online furniture and homewares retailer Temple & Webster shares are down a painful 64.8% over 12 months.
Recently trading for $26.53, building materials company James Hardie shares are down 31.1% over this same period.
For some context, the ASX 200 has gained 2% over the past full year.
And looking ahead, Wielandt doesn't expect any miraculous turnarounds for the beleaguered stocks.
Here's why.
Image source: Getty Images
Are James Hardie shares a sell?
Commenting before James Hardie's FY 2026 results release on Wednesday, which saw the ASX 200 stock close in the red, Wielandt noted:
This Australian building materials company generates most of its revenue in the United States. The acquisition of US decking business AZEK for $US8.75 billion has left the market concerned about earnings risk in response to a flat housing construction market in the US and increasing cost of living expenses.
Summarising his sell recommendation on James Hardie shares, Wielandt said, "The structure of the contentious acquisition left angry Australian investors without a vote on the deal. Too much uncertainty exists about the company's outlook."
Yesterday, James Hardie reported a 25% year-on-year increase in net sales in FY 2026 to US$4.84 billion. However, this boost was driven by the company's AZEK acquisition. Excluding AZEK's contribution, James Hardie's organic net sales fell 2% from FY 2025.
Time to sell Temple & Webster shares?
Atop recommending selling James Hardie shares, Wielandt also has a bearish outlook on Temple & Webster shares.
"TPW is an online furniture and homewares retailer," he noted.
As for Temple & Webster's decidedly dismal share price performance of late, Wielandt said:
The share price remains under significant pressure in response to weaker discretionary spending from the oil price shock and rising interest rates in Australia. The stock has also been subjected to short selling by investors betting the shares will fall.
Summarising his sell recommendation on Temple & Webster shares, Wielandt concluded:
Our recommendation is based on a weaker macroeconomic outlook. At this point, we can't see any clear and meaningful differentiation between TPW and bricks and mortar retailers or online competitors operating in the same or similar sectors.
