These were the FTSE 100’s biggest flops in January!

The first month of 2023 was a good month for UK stocks. At FTSE 100 The index increased by 4.3% between December 30, 2022 and January 31, 2023. It’s a pretty decent start to the year. Of course, while the majority of Footsie stocks rose last month, not all of them did.

Three FTSE 100 flops in 2023

For the record, 16 stocks in the FTSE 100 lost value last month. Here are the three biggest ones in 2023 so far:

#1 Fresnillo (-8.9%)

The best performing FTSE 100 stock in January was in the silver miner Fresno. Fresnillo is listed in London, has a dual listing on the Mexican Stock Exchange (Bolsa), and is based in Mexico City. Founded in 2008, Fresnillo is the world’s largest producer of primary silver (silver from ore) and the second largest gold miner in Mexico.

Despite Fresnillo’s pedigree, the stock fell 8.9% in January. This brings the market value down to around £6bn. But at 796p, the Share is still well above the 52-week low of 610.6p, hit on February 11, 2022. Also, the stock is up almost a quarter (+22.5%) over the year. I don’t own Fresnillo stock, but will add it to my watch list to keep an eye on. But I know from experience that mining stocks can be volatile.

#2 AstraZeneca (-5.6%)

AstraZeneca is the UK’s largest ‘Big Pharma’ company and the second largest London-listed company. The British-Swedish multinational, based in Cambridge, became a household name after distributing the Covid-19 vaccine.

Thanks to its rapid growth, the FTSE 100 company’s shares have doubled in the past five years, rising 107.7%. What’s more, the stock price has risen 22.9% over the past year. Even so, the stock lost 5.6% in January, making it the second-worst performer on the Footsie in 2023.

Although I think AstraZeneca is a great British success story, I don’t own the stock. At the current price of 10,414p, they are trading at a price-to-earnings ratio of near 100. That’s way too expensive to feel as a veteran value investor.

#3 British American Tobacco (-5.6%)

Number three on the FTSE 100 list of January flops is the tobacco giant British American Tobacco. Founded in 1902, the London-based tobacco manufacturer is the world’s largest tobacco company by sales. At the current share price of 3,114p, BAT has a market value of £69.7bn.

Despite falling 5.6% in January, BAT shares are down just 1.9% over the past year. Of course, BAT products harm and even kill users – whom I have known as a smoker for decades. This is why BAT is shunned by Environmental, Social, and Governance (ESG) investors. Additionally, this may explain why the stock is down 34.6% over the past five years.

I don’t own BAT shares, but I would love to buy them for the juicy 7% dividend yield. However, my husband and better half refused to buy tobacco shares. So there is no place for BAT in the family portfolio!