On Monday the All Ordinaries started the week with an impressive gain of almost 1.9% to 5,856.3 points.
Unfortunately, not all shares on the market were in as fine form. Some even dropped to 52-week lows.
The three ASX shares listed below made this unwanted milestone, is this a buying opportunity?
The Automotive Holdings Group Ltd (ASX: AHG) share price dropped to a 52-week low of $1.59 on Monday before recovering and pushing higher. This brought the auto retailer's year to date share price decline to a sizeable 56%. Automotive Holdings has struggled this year after falling house prices impacted car sales. This trend doesn't look likely to change any time soon, which could make the company one to avoid. Incidentally, a recent note out of Macquarie reveals that it has an underperform rating and $1.50 price target on its shares.
The Coles Group Ltd (ASX: COL) share price fell to a new low of $11.26 on Monday. When the supermarket giant's hit that level it meant that they had lost a massive 16% of their value since peaking at $13.37 shortly after listing on the ASX. Concerns that a new price war could be brewing between the big supermarkets and Amazon appears to have taken the wind out of its sails in recent days. While this would be disappointing, I think at this level Coles' shares are looking attractive.
The Paragon Care Ltd (ASX: PGC) share price sank to a 52-week low of 62 cents yesterday. The medical device, equipment, and product distributor's shares came under pressure recently after its annual general meeting update fell short of expectations. Paragon Care reported 7% organic growth year to date, which is lower than its 10% target. In addition to this, operating costs were running at around 30% of revenue for the first four months compared to its target of 26%. The good news is that management is working hard on a major cost program to combat this. While its growth may not be as strong as I'd like, I think the low multiples that its shares trade on make it well worth considering.
