15 Worst-Performing Stocks in Q1: Morningstar

Related: 15 Best-Performing Stocks in Q1: Morningstar

In the first quarter, the worst-performing stocks covered by Morningstar analysts stumbled under the weight of supply chain constraints, inflation and consumers reallocating cash to other areas, according to Jaime Katz, a senior equity analyst. "Consumers may be spending more on staples than discretionary," Katz said in a recent Morningstar blog post. Morningstar ranks stocks based mainly on valuations. It assigns Morningstar ratings to stocks, from 1 star, which denotes most expensive, to 5 stars, the most undervalued. Analysts found that of the 863 stocks they cover, about half experienced at least a one-star change in its rating. Fifty-five stocks became overvalued in the January-to-March period and 114 became undervalued. See the gallery for the 15 worst-performing stocks in the first quarter.