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Why these 4 ASX shares are ending the week in the red

In early afternoon trade the benchmark S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is on course to finish the week on a high. It has followed U.S. markets higher on Friday and is up 0.4% to 6,239.3 points.

Four shares that have failed to follow the market higher today are listed below. Here’s why they are ending the week in the red:

The Appen Ltd (ASX: APX) share price has fallen 3% to $12.67 despite there being no news out of the tech star. I suspect that today’s decline could be the result of profit taking. After all, the language technology data and services provider’s shares have been on a tear over the last 12 months and are up an impressive 208%.

The Bellamy’s Australia Ltd (ASX: BAL) share price has continued its decline and is down a further 3% to $12.40. This latest decline means that the infant formula company’s shares have lost 20% of their value since this time last week. A broker note out of Goldman Sachs appears to be the catalyst for this decline. Although the broker retained its buy rating, it slashed its price target by 18% due to concerns that Bellamy’s CFDA approval would be delayed for a number of months.

The Capilano Honey Ltd (ASX: CZZ) share price has dropped 1.2% to $16.50 after reports claimed that Coles supermarkets had dumped some of its products for using foreign honey. According to the SMH, the company’s Allowrie product has been dumped by the supermarket giant as it wishes to support local beekeepers. Capilano Honey aims to replace the product with one made from 100% Australian honey.

The Elders Ltd (ASX: ELD) share price has plunged 12.5% to $7.29 after the agribusiness company provided the market with a seasonal update. According to the release, retail earnings have been impacted by unseasonably dry conditions across many parts of Australia, which has reduced chemical input demand. In addition to this, easing cattle prices have impacted Elders’ Agency earnings.

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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 Appen Ltd and Capilano Honey Limited. The Motley Fool Australia has recommended Elders 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.

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