Weekly Drawdown Report: July 18, 2026
With 45% of Stocks in the Red Zone, Drawdowns Reach New Extremes
American International Group, Inc. (AIG) is down 94% from its all-time high as of July 18, 2026, and has been falling for approximately 9350 days. The Drawdown Severity Scoreā¢ stands at 18.8, placing it in the red zone. This duration represents the longest active drawdown in our database of 838 tracked assets, spanning over 25 years of historical price data.
Our data shows that market-wide drawdowns are accelerating as of July 18, 2026. The average Drawdown Severity Scoreā¢ across all tracked assets has reached 5.5, indicating widespread pressure. Nearly half of all monitored equities are experiencing severe, long-term pullbacks from their historical peaks.
Market-Wide Drawdown Distribution Summary
To understand the broader health of the market, we track 838 total assets as of July 18, 2026. We categorize these assets into three distinct zones based on their Drawdown Severity Scoreā¢ to help investors visualize market risk. The overall average severity score across the entire database is 5.5, which represents an elevated risk environment.
The red zone, which represents a Drawdown Severity Scoreā¢ of 5.0 or higher, contains 378 assets as of July 18, 2026. This accounts for 45.1% of all tracked equities, indicating that nearly half of the market is in a deep or prolonged correction.
The yellow zone, representing a severity score between 2.0 and 5.0, contains 215 assets, or 25.7% of our database. These equities are experiencing moderate drawdowns or are in the early stages of potential recovery.
The green zone, representing a severity score below 2.0, contains 245 assets, or 29.2% of the database. These stocks are trading relatively close to their historical highs and show minimal drawdown risk.
The table below details the distribution of tracked assets across the three severity zones as of July 18, 2026:
| Severity Zone | Score Range | Asset Count | Percentage of Database |
|---|---|---|---|
| Red Zone | 5.0+ | 378 | 45.1% |
| Yellow Zone | 2.0 to 5.0 | 215 | 25.7% |
| Green Zone | 0.0 to 2.0 | 245 | 29.2% |
Significant Zone Changes This Week
The week ending July 18, 2026, saw several notable shifts across zone boundaries, highlighting changing momentum for key equities. A total of 10 major assets crossed between the red, yellow, and green zones, reflecting shifting risk profiles.
Two notable stocks entered the yellow zone from the green zone, indicating early-stage pullbacks. Cintas Corporation (CTAS) slipped into the yellow zone with a Drawdown Severity Scoreā¢ of 2.2. Joining it was Mastercard Incorporated (MA), which now carries a severity score of 2.0.
Meanwhile, two stocks deteriorated further, crossing from the yellow zone into the red zone. MercadoLibre, Inc. (MELI) crossed the threshold with a Drawdown Severity Scoreā¢ of 5.1. Similarly, IDEXX Laboratories, Inc. (IDXX) entered the red zone with a Drawdown Severity Scoreā¢ of 5.2.
On a positive note, several stocks showed signs of recovery by moving to lower-risk zones. Humana Inc. (HUM) improved from the red zone to the yellow zone, carrying a Drawdown Severity Scoreā¢ of 5.0. Additionally, Sartorius Stedim Biotech S.A. (SBGSY) improved to the green zone with a severity score of 1.9.
Other improvements included CF Industries Holdings, Inc. (CF), which reached the green zone with a severity score of 2.0. W. R. Berkley Corporation (WRB) also entered the green zone with a score of 1.8. Nucor Corporation (NUE) improved to the green zone with a severity score of 2.0. Lastly, Eversource Energy (ES) experienced a minor slide, moving from the green zone to the yellow zone with a severity score of 2.0.
The Market's Highest Severity Drawdowns
The most extreme drawdowns in our database represent assets that have fallen dramatically and remained depressed for years. These five equities carry the highest Drawdown Severity Scoreā¢ ratings in our system as of July 18, 2026.
Universal Power (UP) leads the entire database with a Drawdown Severity Scoreā¢ of 22.1. The stock is down 99.7% from its historical peak and has been in this drawdown for 1,827 days.
Euronet Worldwide, Inc. (EU) holds the second-highest spot with a Drawdown Severity Scoreā¢ of 20.9. It has experienced a drawdown of 87.5% over an extraordinary span of 5,637 days.
Nano Dimension Ltd. (NNDM) carries a Drawdown Severity Scoreā¢ of 19.6. It is down 98.3% from its all-time high, with its drawdown lasting 3,767 days.
American International Group, Inc. (AIG) remains in a historic drawdown of 93.5%, carrying a severity score of 18.8. This pullback has persisted for 9,347 days, representing the longest duration among the top five.
Finally, EPAM Systems, Inc. (EPAM) rounds out the top five with a severity score of 18.7. The stock is down 87.6% from its peak and has been falling for 1,709 days.
Drawdown Severity Scoreā¢
Down 99.7% over 1827 days. This level of decline is exceptionally rare in this asset's history.
22.13
Price
$6.32
All-Time High
$2,310.00
Drawdown
-99.7%
Duration
1827 days
Equities Approaching the Red Zone Threshold
Several prominent stocks are hovering just below or right at the red zone threshold of 5.0 as of July 18, 2026. A Drawdown Severity Scoreā¢ of 5.0 indicates a high-risk technical correction that has lasted for an extended period.
McDonald's Corporation (MCD) sits exactly at the boundary with a Drawdown Severity Scoreā¢ of 5.0. The stock is down 21.5% from its peak and has been in this drawdown for 135 days.
Tesla, Inc. (TESL) also carries a Drawdown Severity Scoreā¢ of 5.0. It is down 35.8% from its historical high and has been in this drawdown for 287 days.
Allegion plc (ALLE) is another asset at the 5.0 threshold. It is down 23.7% over a span of 156 days.
Humana Inc. (HUM) has a Drawdown Severity Scoreā¢ of 5.0, having recently improved from the red zone but remaining on the edge. It is down 26.7% over a massive 1,350 days.
DoorDash, Inc. (DASH) also registers a Drawdown Severity Scoreā¢ of 5.0, down 34.6% over 282 days.
Just below these, BE Semiconductor Industries N.V. (BESIY) carries a severity score of 4.9. The stock has dropped 30.4% in a rapid 34 days.
Colony Group (COLO) also sits at a severity score of 4.9, down 19.5% over 5,728 days.
Lastly, Lam Research Corporation (LRCX) has reached a Drawdown Severity Scoreā¢ of 4.8. It is down 27.7% in just 15 days, indicating an incredibly sharp short-term sell-off.
Down and Historically Low Versus Their Own Record
When assets experience deep price drawdowns, analyzing their valuation multiples relative to their own history provides critical context. The following table displays tracked assets that are down significantly from their peaks and trading at low valuation percentiles compared to their own historical ranges as of July 18, 2026.
| Company | Symbol | Drawdown | Severity Score | P/S Today vs. Historical Median | P/S Percentile | EV/EBITDA Percentile |
|---|---|---|---|---|---|---|
| Byrna Technologies Inc. (BYRN) | BYRN | -91.2% | 13.8 | 0.81 vs. 34.9 | 0.0% | N/A |
| Charter Communications, Inc. (CHTR) | CHTR | -84.0% | 18.6 | 0.30 vs. 1.6 | 0.1% | 6.3% |
| Cognizant Technology Solutions Corporation (CTSH) | CTSH | -49.8% | 8.9 | 0.95 vs. 2.8 | 0.2% | 0.2% |
| EPAM Systems, Inc. (EPAM) | EPAM | -87.6% | 18.7 | 0.82 vs. 3.7 | 0.2% | 1.9% |
| Comcast Corporation (CMCSA) | CMCSA | -56.3% | 10.7 | 0.68 vs. 1.8 | 0.3% | 4.9% |
| Genpact Limited (G) | G | -43.8% | 8.5 | 0.98 vs. 2.1 | 0.3% | 1.4% |
| Studio City International Holdings Limited (MSC) | MSC | -93.6% | 16.0 | 0.12 vs. 1.6 | 0.3% | 5.1% |
| LKQ Corporation (LKQ) | LKQ | -53.7% | 9.8 | 0.47 vs. 1.3 | 0.5% | 0.6% |
percentiles compare each stock only with its own history and are not recommendations.
Mega-Cap Drawdown Analysis
Among the largest companies by market capitalization, several are showing signs of mounting pressure. Tesla, Inc. (TESL) is the most prominent mega-cap stock approaching the red zone as of July 18, 2026, carrying a Drawdown Severity Scoreā¢ of 5.0 with its 35.8% drawdown.
McDonald's Corporation (MCD) also presents a significant case, sitting at the 5.0 threshold with a 21.5% drawdown. This correction has persisted for 135 days, reflecting a sustained period of underperformance relative to its historical highs.
Meanwhile, Mastercard Incorporated (MA) has entered the yellow zone as of July 18, 2026, with a Drawdown Severity Scoreā¢ of 2.0. This indicates that even highly resilient mega-cap stocks are beginning to experience minor pullbacks from their peaks.
What to Watch Next Week
As we look ahead to the week following July 18, 2026, several assets are poised for potential zone transitions. Lam Research Corporation (LRCX) is the primary candidate to enter the red zone, as its Drawdown Severity Scoreā¢ of 4.8 is rapidly climbing due to its 27.7% drop in just 15 days.
Additionally, BE Semiconductor Industries N.V. (BESIY) and Colony Group (COLO) both sit at a Drawdown Severity Scoreā¢ of 4.9. Any further downward price pressure next week will likely push both assets across the 5.0 threshold into the red zone.
Conversely, we will monitor whether Humana Inc. (HUM) can maintain its position in the yellow zone or if it will slip back into the red zone. With a severity score of exactly 5.0, its status remains highly sensitive to immediate price action.
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Frequently Asked Questions
How far has market fallen from its all-time high?
As of July 18, 2026, American International Group, Inc. (AIG) has fallen 94% from its all-time high. This massive decline has developed over a period of approximately 9350 days. This represents the longest active drawdown in the database of 838 tracked assets.
What is market's drawdown?
The average Drawdown Severity Score across all tracked assets in the market stands at 5.5 as of July 18, 2026. This score indicates an elevated risk environment with widespread pressure across the market. Individually, AIG has a severity score of 18.8, placing it deep within the high-risk red zone.
How long has market been in a drawdown?
The market-wide drawdown has reached a point where 45.1% of all tracked equities are in the red zone as of July 18, 2026. For individual assets like AIG, the drawdown has lasted for approximately 9350 days. This duration spans over 25 years of historical price data, making it the longest active drawdown in the database.
Disclaimer: DrawdownAlerts provides historical data analysis, not financial advice. Past performance does not guarantee future results. Severity scores are analytical tools, not buy/sell signals. Always do your own research before making investment decisions.