Houston Chronicle

There were big winners amid the bull market, but also some big losers.

- By Marley Jay

NEW YORK — It was a strong year for the stock market, but 2017 was a great year if you made airplanes (think Boeing), were an online juggernaut (Amazon) or built homes (KB Home). It was a year to forget if you were an energy company (Chesapeake) made Barbie dolls (Mattel) or if you were a storied industrial conglomera­te about to go on a radical slim-down program (General Electric).

The stock market had a banner year overall, but there were plenty of big winners, and big losers. Here’s a look at a few of them.

Winners

• Amazon’s gain of 56 percent in 2017 was hardly shabby, but that number only begins to tell of the enormous effect the company had on the broader market. No other company struck as much fear in its rivals, or potential rivals.

• Boeing soared 89 percent, one of its best years on record. The aerospace giant has benefited greatly as the global economy kicked into a higher gear, increasing demand for airplanes.

• Homebuilde­rs made huge gains for the year as housing prices continued to rise. There are relatively few houses on the market, but demand is strong thanks to the growing economy, and low mortgages rates. Late in the year, sales of new homes reached a 10-year high, and many economists think the trend will continue in 2018.

The companies dramatical­ly outperform­ed the market. NVR and KB Home both doubled, and PulteGroup and D.R. Horton rose almost as much.

Losers

• GE, the icon of U.S. industry, saw its stock price slump 45 percent as investors wondered what its future will look like. GE health care executive John Flannery replaced Jeffrey Immelt as chairman and CEO as Immelt’s 16-year tenure came to an end.

• Energy companies faded after a big gain the year before as crude oil spent most of 2017 trading in circles. While oil prices are stronger than they were and energy companies have cut spending, it’s hard to see what would make oil prices go higher and stay there.

U.S. crude rallied late in the year, and on Friday it settled above $60 a barrel for the first time in 2½ years, but analysts think that if prices did peek above their current levels, companies — especially shale oil producers in the U.S. — would start producing more oil, which would knock prices down again. Exxon Mobil lost 7 percent for the year.

• Mattel didn’t have much fun in 2017 either, falling 44 percent. Rival toymaker Hasbro continued to benefit from a partnershi­p with Disney, as Hasbro’s quarterly sales topped Mattel’s at least twice. Mattel had outsold Hasbro every quarter for 17 years. In September retailer Toys R Us filed for Chapter 11 bankruptcy protection, which hurt both toy makers.

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