23andMe Has Bad Downside Genes

23andMe Holding Co. (ME), a consumer genetics testing company, has been on a price downside trend since it peaked at $16.04 for its weekly closing price on February 5, 2021. The weekly close hit a low of $0.4015 on March 22, 2024, a 97.50% decline from the peak.

3D Chart of All Buy and Sell Returns

But the large red area of unprofitable returns shown on the following 3D chart of the 16,653 buy and sell percent returns based on weekly closes tells the real story of the collapse of the stock. During the 183-week period from December 4, 2020 through May 15, 2024 only 1,018 (6.11%) buy and sell returns made money (green areas) and 15,635 (93.89%) lost money (red areas). The ratio of unprofitable returns to profitable returns was 13.36.

In addition 10,760 buy and sell returns were losses of 50 percent or more. And 2,030 buy and sell returns were losses of 90 percent or more.

The largest loss was 97.50%. The average return was a loss of 55.98%.

Return Chart for All Weekly Buy Dates

Another way to look at buy and sell returns is to examine the returns associated with every weekly buy date and its price. For each buy date the percent return is computed using the current weekly closing price. The chart below shows 182 returns. Only 11 (6.04%) returns were profitable (green vertical lines) and 171 (93.96%) were unprofitable (red vertical lines).

This set of mostly negative returns is another measure that demonstrates the losses endured by ME investors.