Why these 4 ASX shares have started the week in the red

The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has followed the lead of international markets and pushed higher on Monday. At the time of writing the benchmark index is up 0.5% to 6,027 points.

Four shares that have not been able to follow the market higher today are listed below. Here’s why they have started the week in the red:

The G8 Education Ltd (ASX: GEM) share price has fallen 7% to $2.93 following the release of the childcare centre operator’s full-year results. For FY 2017 G8 Education delivered revenue growth of 2.4% to $795.8 million and a flat underlying net profit after tax of $92.9 million. Underlying earnings per share fell 11.7% due to the placement of 31 million shares during the period to raise $100 million.

The Monash IVF Group Ltd (ASX: MVF) share price has tumbled almost 7% to $1.22 after the fertility treatment company posted EBITDA of $20.8 million on revenue of $77 million. This was a 17.7% and 2.2% decline, respectively, on the prior corresponding period. The loss of a high-profile doctor and changing competitive dynamics led to the poor result. Management expects things to worsen in the second-half and has forecast a 25% decline in full-year net profit after tax.

The Mayne Pharma Group Ltd (ASX: MYX) share price is down 7% to 72 cents despite there being no news out of the pharmaceutical company. But with its shares rising strongly after last week’s half-year results release, I suspect that a spot of profit-taking is weighing on the performance of its shares today.

The National Veterinary Care Ltd (ASX: NVL) share price has fallen almost 10% to $2.60 after releasing its half-year results. The veterinary company posted first-half revenue of $41.6 million and net profit after tax of $3.3 million. This was a 27.6% and 27.7% increase, respectively, on the prior corresponding period. Investors may have been disappointed with the decline in its EBITDA margin as a result of increased operating costs.

I think that National Veterinary Care could be worth a look after this decline and rank it up there with these fellow small-cap stars.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of NATVETCARE FPO. The Motley Fool Australia has recommended G8 Education Limited and Monash IVF Group Ltd. 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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