The month of May was a big disappointment for the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO). While many international markets finished the month with gains, the benchmark index ended up with a decline of almost 3.5%.
But that was nothing compared to some shares on the index. These three shares had a month to forget. Does that make them bargain buys in June?
The Australia and New Zealand Banking Group (ASX: ANZ) share price fell 15% in May following the government's decision to introduce a $6.2 billion bank levy on the big five banks. Whilst this is quite likely to result in a slight cut to its dividend, I believe the severe drop in its share price has been a bit of an overreaction. With its shares now changing hands at under 13x trailing earnings and 1.4x book value, I think ANZ could be a good option for income investors once again.
The Australian Pharmaceutical Industries Ltd (ASX: API) share price fell 20% last month despite there being no news out of the company behind the Priceline pharmacy brand. While the retail environment is worryingly weak at present, I think Australian Pharmaceutical Industries' shares have been oversold. At 15x trailing earnings and with underlying half-year profit up 15%, I think it could prove to be great value for money today.
The Sirtex Medical Limited (ASX: SRX) share price plunged by a whopping 23% in May following the release of disappointing FOXFIRE trial results. Unfortunately these results mean the company is unlikely to deliver the explosive dose sales growth that many in the market had expected. However, I do think its shares are reasonable value based on the rest of its business. Whilst I'm not a buyer of its shares, I wouldn't be surprised to see them rebound slightly over the next 12 months.
