John Canally, economist at LPL Financial, said that investors in the U.S. were using Japan as an excuse to book profits after the steep run up in stocks, helping to explain the wide scale market selloff. "At the end of this, no one is going to say this is what dipped the world back into a recession. No one expected much out of Japan before this," said Canally. "The problem is emerging markets. If this slows emerging market growth enough, that could be an issue."Among stocks losing ground Tuesday, Diageo (DEO), a London-based spirits, beer and wine distributor shed 3.6%. Elsewhere in sin stocks, Sam Adams maker Boston Beer (SAM) lost 2.9% and American depositary receipts of British American Tobacco (BTI) fell 2.8%. Investors bid Altria Group (MO) shares 1.6% lower. Consumer packaged goods maker Procter & Gamble (PG) saw its shares fall 1.5% amid investor uncertainty Tuesday. Processed food behemoth Sara Lee (SLE) lost 1.8%. Whirlpool shares had been in positive territory throughout the morning, but lost ground halfway through the session, hovering just below the unchanged mark, likely a result of profit-taking and investors' search for how to benefit from the Japan-induced selloff. Zacks Investment Research noted Tuesday morning that Whirlpool shares were potentially undervalued in terms of their low price-to-earnings ratio, especially compared with its household appliances peers. Zacks said Whirlpool had the lowest P/E, at 8.4 times, ahead of Helen of Troy (HELE), at 10.3 times, and Deer Consumer Products (DEER), at 12.1 times. The Stanley Works (SWK) came next with a P/E of 19 times, followed by iRobot (IRBT) at 34.2 times. -- Written by Miriam Marcus Reimer in New York.
>To contact the writer of this article, click here: Miriam Reimer. >To follow the writer on Twitter, go to http://twitter.com/miriamsmarket. >To submit a news tip, send an email to: email@example.com.
>>See our new stock quote page. Get more stock ideas and investing advice on our sister site, Stockpickr.com.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV