The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has come under pressure today, dragged down by a sliding oil price and a weak lead from international markets. While the index itself is down 0.9%, these four shares are experiencing even greater declines today:
OFX Group Ltd (ASX: OFX) is among the market’s worst-performing shares for the second day in a row. Its shares have fallen a further 5.1%, adding to Wednesday’s 7.9% decline. However, the losses started well before this week. The shares have fallen from around $2.50 in August and more than $3.50 in November 2015 as competition in the currency exchange and international payments markets heats up. OFX Group, which previously traded as OzForex Group, appears one to avoid.
Link Administration Holdings Ltd (ASX: LNK) shares have fallen 6.1%, making it the worst performing share from the ASX 200 cohort at this stage. The heavy fall came after the Australian Competition and Consumer Commission (ACCC) expressed concern over Link’s proposed acquisition of Pillar, which it believes would compromise competition for the supply of superannuation administration services. You can read more about that, here.
BC Iron Limited (ASX: BCI) shares have fallen 18.6% to 17.5 cents, although they did trade as low as 16 cents earlier. The iron ore miner announced a capital raising in which it will issue $25.5 million worth of shares at 13 cents each. That represents a discount of almost 40% from Monday’s closing price.
Cash Converters International Ltd (ASX: CCV) shares have dropped 6.2% to 34.7 cents. They were trading for nearly twice that amount in March this year. The decline since that time can largely be attributed to legal and regulatory concerns surrounding the payday lending industry, with Cash Converters even setting aside more than $12 million in provisions for potential compliance issues. It seems a risky proposition to me, and investors may want to think twice before purchasing.
Motley Fool contributor Ryan Newman has no position in any stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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