April 9, 2025
Smart investors know that knowing when to sell is just as important as knowing what to buy.
While most financial media focuses on stocks to purchase, we look for companies facing serious problems that might make them worth selling. These aren’t just stocks that are temporarily underperforming – they’re businesses facing real challenges with their operations, finances, or that are simply overvalued.
We don’t make recommendations based on short-term price movements or news headlines. Each company on this list has been carefully analyzed using multiple factors that often predict significant price drops.
Good portfolio management means both buying and selling at the right time. Often, the best decision is to move your money away from troubled positions before problems show up in the stock price.
Current Sell Candidates:
BlackBerry (BB)
BlackBerry’s stock dropped 24.2% this week after the company announced disappointing revenue guidance for fiscal 2026 of $504-534 million, well below what analysts expected ($567.3 million). Their Secure Communications division, now a key part of the business, is expected to generate only $230-240 million, down from $272.6 million last year and below the $277 million analysts predicted.
This bad news came right before President Trump announced major new tariffs, described as “the most significant trade action since at least the 1930s.” This creates even more uncertainty for a company already struggling to shift from hardware to cybersecurity and software. The stock now trades at just $3.00, down from its 52-week high of $6.24.
Despite having decent profit margins of 65.37%, BlackBerry’s ongoing revenue declines and weakening market position are serious concerns. The company’s $2 billion market value seems too high given its shrinking business and unclear future. Management hasn’t delivered consistent growth despite years of trying to reposition the company. With no dividend payments and the potential for reduced technology spending in a tougher economy, investors should consider selling BlackBerry before further declines.
JetBlue Airways (JBLU)
JetBlue shows the dangers facing troubled airlines in today’s uncertain economy. The stock fell nearly 6% on Friday after TD Cowen analyst Helane Becker cut her price target by 33% from $6 to $4 per share. This happened just one day after Bank of America analyst Andrew Didora also reduced his target from $5.25 to $4.25 while maintaining a sell rating.
The numbers don’t look good. With a market value of just $1 billion and an extremely thin profit margin of 2.66%, JetBlue has very little room for error. The stock has fallen from its 52-week high of $8.31 to just $3.92, approaching its low of $3.62. Trading volume has jumped to 51.2 million shares versus the average of 24.5 million, suggesting big investors are selling.
JetBlue faces multiple challenges: weakening travel demand as post-pandemic enthusiasm fades, potential cuts in travel spending due to economic pressures from new tariffs, and an industry where bigger airlines have better chances of survival. After failing to acquire Spirit Airlines last year, JetBlue lacks a clear path forward. With no dividend and a continuously falling stock price, JetBlue looks likely to decline further.
Target (TGT)
Target’s stock fell nearly 8% this week due to concerns about its vulnerability to the Trump administration’s new tariffs. According to Bernstein analyst Zhihan Ma, Target gets approximately 50% of its products directly or indirectly from Chinese manufacturing, making it one of the retailers most affected by the new 34% tariff rate. This heavy reliance on Chinese suppliers threatens Target’s costs and profits in a market where raising prices for customers is difficult.
These tariffs come at a bad time for Target, which has already been struggling after several quarters of slow sales growth. The stock is now at $95.67, well below its 52-week high of $173.04, showing investors were losing confidence even before this latest problem. Trading volume has been high at 16.2 million shares compared to the average of 7.1 million, indicating large investors are adjusting their positions.
Unlike Walmart and Costco, which have less exposure to China and more power to negotiate with suppliers, Target doesn’t have the size advantages to effectively manage these cost increases. The company’s profit margin of 25.91% doesn’t leave much room to absorb higher costs without either hurting profits or losing customers through price increases. While Target’s 4.66% dividend yield might look attractive, this could be at risk if profits get squeezed. With the stock near its 52-week low and no positive catalysts on the horizon, investors should consider selling before these tariffs fully impact upcoming earnings reports.
Bottom Line
All three of these stocks face significant challenges from the newly announced tariffs that could make their existing problems even worse. BlackBerry’s declining business, JetBlue’s vulnerability to reduced travel spending, and Target’s heavy reliance on Chinese manufacturing all represent situations where current stock prices don’t fully reflect their deteriorating outlook. In today’s rapidly changing economic environment, it’s often wise to exit these positions before these problems fully show up in future earnings reports.