MENU

Why these 4 ASX shares tumbled lower today

In afternoon trade the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has fought back from a terrible start and finds itself up by almost 0.2% to 6,032 points.

Four shares which haven’t been able to follow the market higher today are listed below. Here’s why they have taken a tumble:

The Beach Energy Ltd (ASX: BPT) share price has dropped 5.5% to $1.28 following the release of its quarterly update. Investors appear disappointed that sales volumes fell 3% quarter-on-quarter to 2,797 kboe. The energy company did, however, benefit from surging oil prices. Beach reported an average realised price of $97.40 per barrel during the quarter, 25% higher than the prior quarter.

The Cann Group Ltd (ASX: CAN) share price has fallen almost 6% to $3.08. Whilst the majority of Australian medicinal cannabis companies have sunk lower today, Cann has been one of the worst performers. The market appears to have been disappointed with its quarterly update which was released this morning. In its outlook management warned of further works that are needed to house new imported strains at its Southern facility.

The Syrah Resources Ltd (ASX: SYR) share price is down almost 3.5% to $3.91. I suspect this could be a delayed reaction to yesterday’s quarterly release. In the release management warned that prices for its initial graphite shipments are lower than the basket price inferred by price reporting agencies. Short sellers may be quite excited by this revelation. Syrah has been the most shorted share on the ASX for some time.

The Village Roadshow Ltd (ASX: VRL) share price has fallen a further 3% to $3.56. Yesterday the entertainment company was one of the worst performers on the market following the release of a disappointing trading update. This led to analysts at Macquarie retaining their underperform rating and cutting the price target on its shares to $3.30. I think it is one to avoid.

So instead of risking your money in Village Roadshow, I think investors ought to consider investing it in quality shares like these.

The Disruptors: 3 Revolutionary Aussie Companies to Back for 2018

We’re living in one of the most exciting times in investing history. Innovation and a booming culture of entrepreneurship are constantly creating new companies with the potential to make forward-thinking investors very rich. Now more than ever, one small, smart investment could make a huge difference to your wealth.

That’s why at The Motley Fool we’ve been scrutinizing the ASX to uncover the kinds of companies that we believe could turn into the next Cochlear or REA Group.

We’ve found three exciting companies that we believe re poised to perform in the new year. Click here to uncover these ideas!

Motley Fool contributor James Mickleboro has no position in any of the 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.

Two New Stock Picks Every Month!

Not to alarm you, but you’re about to miss a very important event! Chief Investment Advisor Scott Phillips and his team at Motley Fool Share Advisor are about to reveal their latest official stock recommendation. The premium “buy alert” will be unveiled to members and you can be among the first to act on the tip.

Don’t let this opportunity pass you by – this is your chance to get in early!

Simply enter your email now to find out how you can get instant access.

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our Financial Services Guide (FSG) for more information.