Earlier today I looked at three of the best performing shares on the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO). These shares have vastly outperformed the market average, putting on gains in excess of 60% during the last 12 months.
Unfortunately not all shares have fared so well during this time. In fact, the three shares below have been some of the worst performers on the index in the last 12 months. Is now the time to pick them up?
The Blackmores Limited (ASX: BKL) share price has tumbled 41% in the last 12 months. The health supplements company's shares have come under heavy selling pressure due largely to its failed infant formula venture and a small drop in sales for the first nine months of financial year 2017. Whilst I think it would be prudent to hold off an investment until its full-year results have been announced, I do see a lot of value in its shares. If the company can successfully return to growth in FY 2018, it certainly is a share I would want in my portfolio.
The iSentia Group Ltd (ASX: ISD) share price has lost 35% of its value since this time last year. A disappointing fall from grace by its newly acquired content marketing business has been the catalyst for this decline. Although the company appears to have steadied the ship now, the loss-making business unit is expected to weigh heavily on its full-year results. But with its shares up 54% in the last three months, it would appear as though some investors expect the media monitoring company could surprise the market during earnings season.
The Mayne Pharma Group Ltd (ASX: MYX) share price has fallen 52% in the last 12 months. Concerns over the Trump Administration's plan to force the price of generic drugs down significantly appear to be behind the sell-off. Which isn't at all surprising considering last year Mayne Pharma spent $890 million to acquire a portfolio of generic drugs from Teva Pharmaceutical Industries and Allergan Plc. Only time will tell whether it overpaid for the acquisition, but for now I would suggest investors resist an investment until its full-year results are released next month.
