Here’s Why Dun & Bradstreet Holdings Inc. (DNB) Crashed on Friday

Insider Monkey
02-08

We recently compiled a list of the 10 Companies Echo Friday's Market Pessimism. In this article, we are going to take a look at where Dun & Bradstreet Holdings Inc. (NYSE:DNB) stands against the other stocks.

Ten companies were hit hard on Friday as investors digested disappointing earnings performance and dismal outlook guidance for 2025.

The shares' performance traded in line with Wall Street's major indices, with the Dow Jones losing 0.99 percent, the S&P 500 falling 0.95 percent, and the tech-heavy Nasdaq diving 1.36 percent.

To come up with Friday’s worst performers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

A high powered financial executive in their sleek office, looking down from a skyscraper.

Dun & Bradstreet Holdings Inc. (NYSE:DNB)

Dun & Bradstreet Holdings Inc. dropped for a second day on Friday, losing 7.42 percent to close at $11.23 apiece as investors took profits following a surge in the previous day’s trading, fueled by reports that it was being targeted for acquisition by a fund management company for around $5.4 billion.

DNB, which has been exploring a sale since August 2024, was said to be nearing takeover by Veritas Capital Fund Management.

If successful, the takeover would mark the second time in seven years that the company has been acquired. In 2018, a group of investors led by CC Capital, Cannae Holdings, and Thomas H. Lee Partners, joined forces to take over DNB for a total value of $6.9 billion.

According to reports, DNB is also exploring other options, such as separating its finance and risk unit from the sales and marketing business.

Additionally, investors repositioned their portfolios ahead of DNB’s release of its earnings performance in the fourth quarter and full year of 2024.

Overall DNB ranks 10th on our list of Friday's worst performers. While we acknowledge the potential of DNB as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than DNB but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

 

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

  Disclosure: None. This article is originally published at Insider Monkey.

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