MENU

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

The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has had a disappointing start to the week and is down 0.7% to 5,782 points in afternoon trade.

Four shares that have fallen more than most on Monday are listed below. Here’s why they are starting the week in the red:

The Afterpay Touch Group Ltd (ASX: APT) share price has fallen 5% to $6.78 after the AFR reported that some leading brokers are questioning the fintech company’s valuation. According to the report, both Credit Suisse and Shaw and Partners have put out bearish notes in recent dates describing Afterpay as a sell. Bell Potter, however, believes the sell-off is a buying opportunity.

The Argosy Minerals Limited (ASX: AGY) share price has tumbled almost 6% to 32 cents. This morning the prospective lithium miner provided an update on its Rincon lithium project in Argentina. The update appeared to be positive so this could be a case of investors buying the rumour and selling the fact.

The Galaxy Resources Limited (ASX: GXY) share price is down over 4% to $3.14. The lithium miner’s shares have fallen despite Citi responding positively to its full-year results release last week. According to the broker note, Citi has retained its buy rating and $4.60 price target after Galaxy delivered a result in-line with its expectations. I thought it was a strong result and believe Galaxy’s Mt Cattlin asset is a real cash cow.

The Vita Group Limited (ASX: VTG) share price has plunged over 5% to $1.40. Today’s decline could be in relation to Telstra Corporation Ltd (ASX: TLS) admitting that it misled up to 100,000 customers by charging them for content like games and ringtones many didn’t know they had bought. Many of these customers may have signed up at Vita-operated Telstra retail stores. I would stay clear of Vita because of this and its weakening core business.

Looking for a strong stock to buy after this sell-off? Then don't miss out on this dividend star.

OUR #1 dividend pick to grow your wealth over the new financial year is revealed for FREE here!

Financial year 2018 is here and The Motley Fool’s dividend detective Andrew Page has revealed his must buy dividend share to grow your wealth in 2018.

You might not know this market leader's name, but it's rapidly expanding into a highly profitable niche market here in Australia. Even better, the shares boast a strong, fully franked dividend that should balloon in the years to come. In other words, we're looking at the holy grail of incredible long-term growth potential AND income you can watch accruing in your account in real time!

Simply click here to grab your FREE copy of this up-to-the-minute research report on our #1 dividend share recommendation now.

Motley Fool contributor James Mickleboro owns shares of Galaxy Resources Limited. The Motley Fool Australia owns shares of and has recommended Telstra Limited. The Motley Fool Australia owns shares of AFTERPAY T FPO. 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 Scott Phillips.

The 5 mining stocks we’re recommending in 2019…

For decades, Australian mining companies have minted money for individual investors like you and me. But if you believe the pundits and talking heads on TV, those days are long gone. Finito! Behind us forever…

We say nothing could be further from the truth. To earn the really massive returns, you’ve got to fish where others aren’t fishing—and the mining sector could be primed for a resurgence. That’s why top Motley Fool analysts just revealed their exciting new research on 5 ASX miners they believe could help you profit in 2019 and beyond…

Including:

The best way we see to play the global zinc shortage… Our #1 favourite large-cap miner (hint: it’s not BHP)… one early-stage gold miner we think could hit the motherlode… Plus two more surprising companies you probably haven’t heard of yet!

For free access to our brand-new research, simply click here or the link below. But be warned, this research is available free for a limited time only, and we reserve the right to withdraw it at any time.

Click here for your FREE report!