MENU

Why these 4 ASX shares started the week in the red

In afternoon trade the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is on course to start the week with a move lower. At the time of writing the benchmark index is down 0.3% to 5,820 points.

Four shares which have fallen more than most today are listed below. Here’s why they have started the week in the red:

The Bendigo and Adelaide Bank Ltd (ASX: BEN) share price is down 2.5% to $10.94 following the release of its half-year results. Investors appear to be underwhelmed by the regional bank’s cash earnings per share of 46.8 cents. This was a 3.3% increase on the prior corresponding period. As well as this, the commencement of the Royal Commission today has weighed on the banking sector’s performance.

The JB Hi-Fi Limited (ASX: JBH) share price has tumbled 7.5% to $25.97 despite reporting a 25% increase in half-year earnings before interest and tax. Although its results came in slightly ahead of the market’s expectations, its outlook was weaker than expected after comparable store sales reversed during January. Harvey Norman Holdings Limited (ASX: HVN) shares are down 4% on the news.

The Myer Holdings Ltd (ASX: MYR) share price has plunged 6.5% to 54.7 cents. Today’s decline could be related to a broker note out of Deutsche Bank which revealed that its analysts have downgraded the retailer’s shares to a sell rating with a 45 cents price target. The broker is concerned that its sales decline may not be easily fixed and that its balance sheet is looking especially pressured right now. I would heed Deutsche’s advice and stay clear of Myer’s shares.

The Regis Resources Limited (ASX: RRL) share price is down 4% to $3.86 after the gold price tumbled lower. Almost all of Australia’s gold miners are in the red today after the gold price extended its February decline to approximately 2%. It has started to recover over the last few hours, but I suspect that the prospect of rising interest rates will mean this rebound is short-lived.

Need a lift after these declines? Then don't miss out on these hot stocks that could supercharge your portfolio.

Top 3 ASX Blue Chips To Buy In 2018

For many, blue chip stocks mean 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 2018."

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%.

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.

Click here to claim your free report.

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.