In the last 12 months we have had the Brexit, the Australian election, and last but not least President Trump's incredible victory in the race to the White House.
Despite the volatility these events brought the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has still carved out a massive 14% gain from this time last year.
Unfortunately not all shares on the index have fared so well in the last 12 months, with five shares in particular having a dreadful time.
Here's why they're the five worst performers on the S&P/ASX 200 during the last 12 months:
Bellamy's Australia Ltd (ASX: BAL) shares have fallen 61% in the last 12 months after mismanagement and market share losses led the infant formula manufacturer to downgrade its margin and profit expectations for FY 2017. As tempting as it might be to buy the dip, I would avoid Bellamy's as things could still get worse before they get better.
Sirtex Medical Limited (ASX: SRX) shares have dropped 59% during the period. This decline is largely the result of the liver cancer treatment specialist revising its dose sales guidance downwards in December. Legal action against the company has also weighed heavily on its share price. I would suggest investors give the company a wide berth for now.
Estia Health Ltd (ASX: EHE) shares are down 53% since this time last year. The company's substantial profit downgrade just a matter of weeks after providing its original profit guidance played a key part in this decline. I'm not convinced Estia is through the worst of it yet, so investors might want to avoid the aged care operator.
Vocus Group Ltd (ASX: VOC) shares have lost 41% of their value in the last 12 months. Boardroom fallouts and concerns over NBN margins appear to have led to this decline. But at just 14x trailing earnings I believe Vocus could be a bargain buy now. High short interest in the fast-growing telco company is a slight concern, but I'd be willing to overlook it considering its exciting long-term growth prospects.
IPH Ltd (ASX: IPH) shares are down 38% in the last 12 months after the intellectual property services firm failed to live up to the market's lofty expectations. Now that its shares are trading at a more reasonable earnings multiple of 18x estimated FY 2017's earnings, I think IPH could be worth taking a closer look at. Especially with the company possessing strong growth potential from the Asia-Pacific market.
