Although the market has climbed higher today, not all shares have been able to follow suit.
In fact, three shares have just drifted to 52-week lows. Here's why they are printing new lows today:
The Eden Innovations Ltd (ASX: EDE) share price tumbled to a 52-week low of 11 cents this morning. Although the clean energy company's EdenCrete admixture has a lot of promise, investors appear to be frustrated at how slow sales are growing. This year management is targeting sales of US$6 million, which some investors appear to believe isn't enough to justify a market cap of approximately $150 million. I think Eden Innovations is worth keeping on your watchlist, but I would resist an investment until it grows into its current valuation.
The MSM Corporation International Ltd (ASX: MSM) share price has crashed 16% lower to a new low of 9.2 cents in morning trade. In October the online entertainment company's shares reached as high as 34 cents following the launch of it mobile-first talent competition. The competition doesn't appear to have captured the level of attention that many investors were expecting. The app has achieved 428,000 installs worldwide according to a recent update. I think MSM is probably one to avoid in 2018.
The Ramelius Resources Limited (ASX: RMS) share price has hit a new 52-week low of 32.5 cents on Wednesday. Although the gold miners as a whole have tumbled lower as a result of further declines in the gold price, Ramelius has fallen more than most due to its weakening margins. As of its most recent update, management advised that its all-in sustaining cost is expected to rise to US$1,000 an ounce in the December quarter. Just over a year ago Ramelius was pulling gold out of the ground for less than US$700 an ounce. I would stay away from Ramelius and the gold miners at this point due to rising rates and widening bond yields in the United States.
