In afternoon trade the benchmark S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has given back some of its gains but is still higher by 0.3% to 6,121.5 points.
Four shares that have failed to follow the market higher today are listed below. Here’s why they have sunk lower:
The Mineral Resources Limited (ASX: MIN) share price has tumbled 4% to $16.17 after Hancock Prospecting took the lead in the acquisition of Atlas Iron Limited (ASX: AGO). Gina Rinehart’s Hancock Prospecting has offered 4.2 cents per Atlas share. Mineral Resources now has three business days to make a counter proposal.
The OZ Minerals Limited (ASX: OZL) share price has fallen almost 4% to $9.79. The copper miner appears to have come under pressure this week amid falling copper prices. According to Metal Bulletin, Comex copper prices fell to a two-week low yesterday due to the escalating trade conflicts between the United States and China.
The Super Retail Group Ltd (ASX: SUL) share price has dropped over 3.5% to $8.18 after being downgraded by analysts at UBS. According to the note, the broker has downgraded Super Retail’s shares to a neutral rating from buy but maintained its $8.70 price target. The broker made the move after Super Retail’s shares gained around 30% in just three months. At around 12x estimated full-year earnings, I still see a lot of value in its shares.
The Wattle Health Australia Ltd (ASX: WHA) share price has continued its decline and is down a further 5% to $1.10. This latest decline means that the baby food and infant formula company’s shares have lost a third of their value since this time last month. Earlier today the company released an announcement regarding an agreement with Quality Brands International Direct which did nothing to stop the decline. And rightly so, in my opinion. I felt the supposedly market sensitive announcement was largely unnecessary, overly promotional, and filled with marketing buzz words.
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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 Super Retail Group Limited. 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.