We recently published an article titled Why These 15 Large-Cap Stocks Are Plunging So Far In 2025. In this article, we are going to take a look at where Manhattan Associates, Inc. (NASDAQ:MANH) stands against the other large-cap stocks.

The big and large-cap stocks have spearheaded the rally in the past two years, but Wall Street’s expectations have gotten ahead of many of their fundamentals. The Nasdaq briefly entered correction territory as the stock market cooled over the past week due to tariff fears and a perceived slowdown in the growth of AI, which then spilled into the data center industry.

Wall Street is now reassessing the growth premium they are paying for many of these large-cap stocks. A lot of them have tumbled in the past week and have done so in a much more severe way than the broader market.

That said, large companies have staying power, and many of them could now be undervalued.

Methodology

For this article, I screened the worst-performing large-cap stocks ($10 billion to $100 billion) year-to-date.

I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

A woman and man in formal attire in a meeting room discussing the latest enterprise solutions technology from the company.

Manhattan Associates, Inc. (NASDAQ:MANH)

Number of Hedge Fund Holders In Q4 2024: 34

Manhattan Associates, Inc. (NASDAQ:MANH) makes software for supply chains and retail inventory management.

The stock is down significantly so far in 2025 as it reported Q4 2024 Services revenue of $119.5 million. It grew by only 0.3% year-over-year and fell $2 million short of guidance provided in its previous quarter.

The company attributed this to delays in professional services work and deferred deals. Approximately 10% of customers with ongoing implementations had scaled back planned services work for the upcoming fiscal year.

Moreover, it announced the retirement of its President and CEO, Eddie Capel, in the first half of February.

The company is also facing multiple class action lawsuits.

The consensus price target of $273.33 implies 58.06% upside.

Manhattan Associates, Inc. (NASDAQ:MANH) stock is down 35.95% year-to-date.

Overall MANH ranks 2nd on our list of the large-cap stocks that are plunging so far in 2025. While we acknowledge the potential of MANH as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MANH 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.