Now is a good time to sell these two stocks

Article Excerpt

Most stocks have dropped in the current market downturn, but we feel top-quality shares will be among the first to rebound. However, some, including Nissan, have severe problems in their markets that will likely block recovery anytime soon. Others, like Luckin Coffee, have big internal issues that limit their growth prospects ahead. We now see each as a sell for TSI Power Growth Investors. NISSAN MOTOR (ADR) $6.67 (Nasdaq symbol NSANY TSINetwork Rating: Average) (www.nissan-global.com; Shares outstanding: 1.9 billion; Market cap: $13.7 billion; Dividend yield: 8.3%) is Japan’s second-largest automaker, after Toyota and ahead of Honda. Nissan reports that its sales in China fell 44.9% in March 2020, to 73,297 units from a year earlier, as the coronavirus epidemic continues to hit the world’s biggest car market. The company is also facing a dramatic drop in sales in the U.S., the world’s second-largest car market. Meanwhile, Nissan was already struggling with falling sales in the aftermath of the scandal surrounding ex-chairman Carlos Ghosn. Makoto Uchida, who took…