MENU

3 ASX shares at 52-week lows: Time to buy?

On Monday the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) may have pushed higher, but not all shares were able to follow suit.

Some even fell to 52-week lows or worse. Three shares that reached this unwanted milestone are listed below. Here’s why they are on the decline:

The BWX Ltd (ASX: BWX) share price fell to a 52-week low of $3.75 yesterday after the personal care products company advised that Bain Capital would not be going ahead with its $6.60 takeover offer after 12 weeks of due diligence. This decline means the shares of the company behind the Sukin skincare range are now trading at a reasonable 19x earnings. While I thought its recent full year result was a touch underwhelming, if it returns to form in FY 2019 then BWX’s shares could prove cheap at these levels.

The Japara Healthcare Ltd (ASX: JHC) share price sank to an all-time low of $1.32 on Monday after Prime Minister Scott Morrison announced a royal commission into Australia’s aged care system. This is the latest blow for an industry struggling to live up to the market’s expectations and I’m not surprised to see Japara and its peers tumble lower. While Japara’s shares are arguably dirt cheap now, I intend to stay clear of its shares until after the royal commission. As we saw with the banks, such inquiries can weigh heavily on investor sentiment and drag shares lower and lower.

The Reckon Limited (ASX: RKN) share price tumbled to a decade-low of 80 cents yesterday. This accounting software company has seen its shares fall significantly this year after the takeover by MYOB Group Ltd (ASX: MYO) was blocked by the ACCC. I suspect the market is struggling to see how Reckon can successfully compete with its larger rivals in a highly competitive market. As a result, I’m not expecting to see a meaningful recovery in its share price any time soon.

Instead of Reckon, I would be buying these top buy-rated growth shares which have the wind in their sails.

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 owns shares of and has recommended BWX 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.

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.