Although it has come off its highs, the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is on course for a positive finish to the week. In afternoon trade the index is up a solid 0.4% to 6,204.6 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 A2 Milk Company Ltd (ASX: A2M) share price has fallen 3.5% to $10.20 today. The infant formula and dairy company’s shares have come under significant pressure this week after its CEO sold all her shares after just two months in the job. In addition to this, concerns over the strained Australia-China relationship appear to be weighing on China-focused shares.
The Digitalx Ltd (ASX: DCC) share price has sunk 10.5% lower to 8.4 cents after the blockchain and ICO advisory company was hit with legal action. According to the release, DigitalX advised that it has been served with an Originating Application and Statement of Claim in the Federal Court of Australia. This has been filed by a group of parties relating to an investment made by the parties in an initial coin offering to which the company was an advisor.
The Gazal Corporation Limited (ASX: GZL) share price has dropped 3% to $4.60 despite the release of a strong half year result. For the six months ended August 4 the retailer reported a profit after tax from continuing operations of $4.93 million, up 99.9% on the prior corresponding period. A 31% increase in like for like sales for its joint venture brands helped drive the solid result. The board declared an interim dividend of 10 cents per share, payable December 14.
The Weebit Nano Ltd (ASX: WBT) share price has fallen over 11% to 4 cents after the Israel-based semiconductor company announced the successful completion of a $3 million placement. Management advised that the funds were successfully raised at a significant discount of 3.5 cents per share and leave the company well-funded to progress potential partnership discussions, scale down its technology, and plan for the move to a production facility. Weebit Nano is aiming to develop and commercialise the next generation of ReRAM technology.
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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 A2 Milk. 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.