Last month the benchmark S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) had a solid month, rising around 3% to 5,864 points.
Unfortunately not all shares managed to follow the index higher. In fact, the four shares listed below all fell sharply. Here's why:
The Cabcharge Australia Limited (ASX:CAB) share price tumbled 21% last month. The majority of this decline came on Thursday after the taxi services provider's shares went ex-dividend. The company will pay a special dividend of 80 cents per share to shareholders after it sold its 49% interest in ComfortDelGro Cabcharge for $184 million.
The Downer EDI Limited (ASX: DOW) share price fell 18% in March following a lukewarm response from the market to its planned acquisition of Spotless Group Holdings Ltd (ASX: SPO). Institutional investors snapped up only 66% of the shares available to them in an equity raising, despite the offer being a 20% discount to Downer's last closing price.
The Fletcher Building Limited (Australia) (ASX: FBU) share price dropped 16% last month after the construction giant downgraded its full-year earnings guidance. The firm now expects earnings before interest, tax and significant items to come in between NZ$610 million to NZ$650 million, around 15% lower than previous guidance given just a month earlier. The downgrade was largely the result of a single major project that will now produce a bigger-than-expected loss following ongoing operational reviews.
The Thorn Group Ltd (ASX: TGA) share price fell 11% in March after being served with a class action by Maurice Blackburn on behalf of customers who were part of its Radio Rentals "Rent, Try, $1 Buy" offer. Maurice Blackburn alleges that the company targeted vulnerable people and treated customers unfairly and unconscionably. Despite its shares falling 31% year-to-date, I would stay well clear of it for the time being.
