The S&P/ASX 200 (INDEXASX: XJO) (ASX: XJO) gained 0.7% closing at 5,624.20 today, led by the miners and financial stocks. The S&P/ASX 300 Metal & Mining (ASX: XMM) sector soared more than 2%, while Materials, Health care and Information Technology sectors all posted strong gains.
In contrast to the market, these four stocks were heavily sold off…
Transport company McAleese Ltd (ASX: MCS) crashed 14.3% to 9 cents, after warning that it was in danger of breaching its debt covenants and has begun talks with its bankers 'with the aim of providing a stable base.' The company also announced that it was taking writedowns on its Heavy haulage & Lifting division by around $60-$70 million and another impairment of $50-$70 million in its Bulk haulage division.
Jewellery retailer Lovisa Holdings Ltd (ASX: LOV) wasn't feeling the love either, falling 5.6% to $3.35, but is still up 43% since the start of this year. There was no company news released, in fact, Lovisa hasn't released an announcement since April when it reported that it had received regulatory approval to acquire 21 fashion accessory stores in South Africa. We suggested it might be one to watch back in February and Lovisa remains attractive.
Fund manager Treasury Group Limited (ASX: TRG) fell 6% to $8.85 after the company announced that funds under management (FUM) had dropped by 5.2%, or $2.7 billion since the end of March 2015. Treasury now has $49 billion in FUM, but will lose a large chunk of that after selling its joint venture stake in infrastructure asset manager RARE. RARE accounts for 20% of the company's FUM.
Sealink Travel Group Ltd (ASX: SLK) dropped 4.4% to $2.15. The company owns the exclusive ferry transport to Kangaroo Island in South Australia and Captain Cook Cruises on Sydney Harbour. Back in February the company announced that the lower Australian dollar was making Australia a more competitive tourist destination – since then the dollar has fallen another 5.8% – great news for Sealink's various businesses.
