The day after the Budget, the S&P/ASX 300 (Indexasx: XKO) (ASX: XKO) rose 0.7% to 5,655.5, with most of our heavyweight industrial stocks in the top 20 posting positive gains. Westpac Banking Corp (ASX: WBC) dropped 2.5%, but that was due to going ex-dividend today.
Here are 5 more ASX stocks that were dumped today.
Australian Dairy Farms Group (ASX: AHF) dropped 16% to 21 cents, after resuming trading, following a $17.7 million capital raising. The company plans to purchase 3 producing dairy farms with the proceeds, doubling milk production to 20 million litres per year. Australia's only listed dairy farmer will issue an estimated 78.4 million shares at 20 cents each – the clear reason why shares plunged.
STW Communications Group Ltd (ASX: SGN) dropped 8.6% to 63.5 cents after the company's AGM today. It seems management expect underlying earnings and net profit to be in line with the previous year, but that's before restructuring costs. Colleague Andrew Mudie covered the fall in more detail earlier today.
Horizon Oil Ltd (ASX: HZN) fell 8% to 11.5 cents, despite no news from the company. In the last quarter, Horizon saw revenues of US$25.7 million, although that did including some hedging gains, as it produced more than 324,000 barrels of oil. Horizon has operations offshore New Zealand, China and onshore in Papua New Guinea.
Security firm Covata Ltd (ASX: CVT) lost 5.9% to 48 cents despite no news from the company. Shares in Covata can be very volatile, jumping as much as 18.6% back in March, after announcing a 10-year agreement with IT Giant Cisco, as we covered here. With data security a growing sector thanks to the threat from hacking and data breaches, as well as the move into 'the cloud', more data is at risk, which should prove to be a long-term tailwind for Covata.
Martin Aircraft Company Ltd (ASX: MJP) fell 5.5% to 86 cents, continuing its volatile journey. Shares in the jet pack manufacturer have soared as high as $3.15 and as low as 62.5 cents since listing in March 2015. Clearly investors have no idea how to value the company, which intends on making personal jetpacks which have a range of around 30 kilometres. Expect the volatility to continue until the company can successfully commercialise the product.
