After a pretty subdued start to the trading week, the S&P/ASX 200 (Index: ^AXJO) (ASX:XJO) has managed to bounce-back into positive territory thanks to a rally from the big miners.
At lunchtime, the benchmark index was trading 0.15% higher to 5,738 points.
Four shares that have been under heavy pressure today include:
Navitas Limited (ASX: NVT)
The Navitas share price has slumped more than 15% today after the education provider announced it is likely to take a big earnings hit as a result of unfavourable changes to the Adult Migrant English Program. Unfortunately, the company's EBITDA could fall between $12 million to $14 million from FY18 onwards after the government decided it would only recommend Navitas as a preferred tenderer for a reduced number of contract regions starting from July 1 2017.
REA Group Limited (ASX: REA)
The REA Group share priced has dropped more than 2.5% today, after its shares went ex-dividend. However, today's fall could also be related to an article published in the Fairfax press that has suggested the company has changed its accounting practices on multiple occasions to provide a more favourable comparison with Fairfax Media Limited (ASX: FXJ) owned rival, Domain Group. As highlighted here, REA Group also faces the threat of new entrants in the property market which could have some investors concerned.
Slater & Gordon Limited (ASX: SGH)
The Slater & Gordon share price continues to swing wildly as investors question how much longer the embattled legal firm will be able to operate under the current regime. The shares have lost another 8% today and are now trading at just 9 cents a share. Unfortunately, speculation is the key driver of the share price right now and it looks as though investors should avoid Slater & Gordon at all costs.
Mayne Pharma Group Ltd (ASX: MYX)
The Mayne Pharma share price has crashed 4.2% today, despite no notable news from the company. Unfortunately, an impressive first-half result has not been enough to get the support of investors, with the ongoing investigation into price fixing still the overwhelming concern. Interestingly, Mayne Pharma is now the 11th most shorted share on the ASX with around 9.6% of shares under the control of short sellers.
