MENU

Why Mayne Pharma Group Ltd is among 4 shares sinking lower today

The S&P / ASX200 (ASX: XJO) is in the red again today to trade down around 0.6% at 5,695 points as weakness in the heavyweight sectors of banking and resources fails to offset a reasonably positive day in the information technology sector.

Some well known businesses are also performing much worse than the market, so let’s take a look at what might be behind their weak performance.

The Mayne Pharma Group Ltd (ASX: MYX) share price is down 4% to $1.07 today despite the pharmaceutical drug retailer releasing no specific news to the market. Mayne Pharma shares have lost around 36% of their value since the November 2016 election of US president Donald Trump, who has attacked the prices charged by US pharmaceutical drugs retailers and vowed to bring them down. This has hurt sentiment around the acquisitive Mayne Pharma that may provide a trading update at its November 29 AGM.

The Syrah Resources Ltd (ASX: SYR) share price is down 7.8% to $1.65 today despite the Mozambique-based graphite miner releasing no specific news to the market. Over November the miner has announced a couple of sales agreements with Chinese and Japanese customers. Despite the company reporting some positive operational updates investors are growing impatient with the lack of revenues so far. The stock is down around 65% in 2018.

The Wesfarmers Ltd (ASX: WES) share price is down 2.5% to $45 after the investment conglomerate and owner of Coles supermarkets held its AGM today. At the AGM its managing director warned that the first quarter sales of growth of 5.8% for Coles was unlikely to be repeated in the Christmas quarter and that current trading was more in line with “the fourth quarter of the 2018 financial year”. Although Wesfarmers is set to float Coles, it’s probably the sales news that has sent shares lower.

The Class Ltd (ASX: CL1) share price fell 2.5% to $1.73 despite the online self managed superannuation platform provider releasing no specific news to the market. Class shares are now down 38% in 2018 after the group warned that net account growth would not be as strong as expected as previous users such as AMP Limited (ASX: AMP) switch to their own systems.

OUR #1 dividend pick to grow your wealth now is revealed for FREE here!

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 Yulia Mosaleva has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Wesfarmers Limited. The Motley Fool Australia owns shares of Class 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.

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!