While the markets have been hitting fresh record highs, that does not mean that all stocks are good buys. In fact, our POWR Ratings system has identified three stocks, Borr Drilling (BORR), iSun Inc. (ISUN), and Li Auto (LI), that were recently downgraded to Strong Sells, indicating investors should steer clear.If you haven’t checked out the POWR Ratings recently, you owe it to yourself to take a look. A handful of stocks were recently downgraded to grades of A, indicating they are Strong Sells.
These are stocks that have either seen their fundamentals deteriorate, are trading at valuations that don't correspond to their financial situation, or trending in the wrong direction. Stocks rated a Sell or Strong Sell have shown to underperform, compared to other stocks in our database.
This is why it's bests to avoid them. Below, I will explain why the following stocks have been downgraded: Borr Drilling (BORR), iSun Inc. (ISUN), and Li Auto (LI).