It has been a disappointing end to the week for the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO). In afternoon trade the index has followed the lead of international markets and sunk almost 1.3% to 5,684 points.
Four shares that have fallen more than most today are listed below. Here’s why they are ending the week in the red:
The Australian Agricultural Company Ltd (ASX: AAC) share price has fallen 7% to $1.52 after the surprise resignation of its managing director and CEO Jason Strong. No reason has been given for Mr Strong’s resignation after four years in the top job, but it clearly has spooked the market judging by the share price decline today.
The Baby Bunting Group Ltd (ASX: BBN) share price has plunged 13% to $1.69 following the release of its full-year results. Despite pro-forma net profit after tax growth of 22% to $13 million, the market appears to have responded negatively to its plans to invest heavily during the year ahead.
The REA Group Limited (ASX: REA) share price has tumbled 6% to $64.23. This morning the property listings company announced that full-year statutory net profit had fallen 12% to $206.3 million. Furthermore, management’s FY 2018 outlook advised that operating expense growth would exceed revenue growth in some quarters.
The Sigma Healthcare Ltd (ASX: SIG) share price has fallen almost 8% to 85.7 cents following the release of yet another trading update. According to the release, Sigma has downgraded its full-year earnings guidance to $90 million from $95 million due to the steps taken to combat tough trading conditions and win market share. Yet another reason to avoid the shares of Sigma in my opinion.
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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