Why these 4 ASX shares have been slammed today

The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has given back its early gains and in afternoon trade is down 0.2% to 5,759 points.

Four shares which have weighed heavily on the market today are listed below. Here’s why they have been slammed:

The Auscann Group Holdings Ltd (ASX: AC8) share price has fallen for a second day in a row, this time by 5% to 49.5 cents. The medicinal cannabis company’s shares have come under heavy selling pressure following a $12 million capital raising at 50 cents per share. Today’s decline means the pot stock is now down almost 25% in the last 30 days.

The Bank of Queensland Limited (ASX: BOQ) share price has tumbled 2.5% to $11.35. Today’s decline is likely to be attributable to the regional bank advising that Standard & Poor’s had downgraded its long-term issuer credit rating to a BBB+ rating. A build-up of economic imbalances in Australia due to a rapid rise in private sector debt and house prices is behind the downgrade. A total of 23 Australian financial institutions were downgraded with a stable outlook.

The Fortescue Metals Group Limited (ASX: FMG) share price has fallen almost 3% to $5.22. Yesterday the iron ore producer rallied strongly following a rise in the iron ore price. But with the Australian Financial Review reporting that China’s iron ore stockpiles have reached a record high, it seems that some traders aren’t overly confident that the iron ore rally will continue for much longer.

The Surfstitch Group Ltd (ASX: SRF) share price has plunged 7% to 7 cents after the company acknowledged reports that a class action against the company has been filed with the Supreme Court of Queensland. Although it is not in receipt of any claim at present, management will keep the market updated. Following yesterday’s disastrous trading update, this is the last thing shareholders wanted to hear. This is a retailer that should be avoided at all costs in my opinion.

Instead of wasting your hard-earned money on an investment in Surfstitch, I would suggest you take a look at these high-flying growth shares. I'm tipping them for big things this year.

Top 3 ASX Blue Chips To Buy In 2017

For many, blue chip stocks means stability, profitability and regular dividends, often fully franked..

But knowing which blue chips to buy, and when, can be fraught with danger.

The Motley Fool’s in-house analyst team has poured over thousands of hours worth of proprietary research to bring you the names of "The Motley Fool’s Top 3 Blue Chip Stocks for 2017."

Each one pays a fully franked dividend. Each one has not only grown its profits, but has also grown its dividend. One increased it by a whopping 33%, while another trades on a grossed up (fully franked) dividend yield of almost 7%.

If you’re expecting to see the likes of Commonwealth Bank, Telstra and Wesfarmers shares on this list, you’ll be sorely disappointed. Not only are their dividends growing at a snail’s pace, their profits are under pressure too due to the increasing competitive environment.

The contrast to these “new breed” blue chips couldn’t be greater… especially the very real prospect of significant share price gains, something that’s looking less likely from the usual blue chip suspects.

The names of these Top 3 ASX Blue Chips are included in this specially prepared free report. But you will have to hurry. Depending on demand – and how quickly the share prices of these companies moves – we may be forced to remove this report.

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Motley Fool contributor James Mickleboro 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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