In early afternoon trade the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is on course to start the week on a positive note. At the time of writing the benchmark index is up 0.25% to 5,789.8 points.
Not all shares have managed to follow the market higher on Monday. Here’s why these four ASX shares have started the week in the red:
The BlueScope Steel Limited (ASX: BSL) share price is down almost 4% to $11.72 after a broker note out of Ord Minnett revealed that its analysts have lowered their earnings estimates on the back of lower hot rolled coil prices. While the broker has retained its accumulate rating, it has reduced its price target by 4.3% to $19.80.
The Mesoblast limited (ASX: MSB) share price is down 3.5% to $1.29. This morning the regenerative medicine company announced that it has drawn down a further US$15 million from its US$75 million, non-dilutive, four-year credit facility with Hercules Capital. Management advised that the funds will be used primarily to ramp up its product commercialisation programs, including building out a targeted sales force for its product candidate for acute graft versus host disease.
The Wesfarmers Ltd (ASX: WES) share price is down 3% to $31.01 after the conglomerate released a trading update this morning. That update revealed that its Kmart business continued to underperform over the Christmas period and finished the first half with negative comparable sales. One positive, though, is that its key Bunnings business appears to have traded in line with management’s expectations during the half.
The WiseTech Global Ltd (ASX: WTC) share price is down 2.5% to $18.66 despite there being no news out of the logistics software platform provider. A number of tech shares have dropped into the red today after the Nasdaq tech index underperformed the broader market on Wall Street on Friday with a 0.2% decline.
Motley Fool contributor James Mickleboro 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 WiseTech Global. 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.